Before you initiate a rollover, make sure you have everything in order. Miss any of these steps and your rollover could be delayed — or worse, taxable.
Before you start: confirm your account status
- [ ] You have separated from the employer (or are eligible for an in-service rollover at age 59½)
- [ ] You know your current plan administrator (Fidelity, Empower, Vanguard, Principal, etc.)
- [ ] You have your account number and login credentials
- [ ] You've confirmed your vested balance — especially the employer match portion
Check for restrictions
- [ ] Review your vesting schedule — are all employer contributions fully vested?
- [ ] Check for any outstanding 401(k) loans (you may need to repay before rolling over)
- [ ] Ask if there are plan-specific waiting periods for departing employees
- [ ] For 403(b) plans with annuity products: check for surrender charges
Set up the destination account
- [ ] Decide whether you're rolling to a Traditional IRA, Roth IRA, or new employer plan
- [ ] Open the IRA if you don't already have one (must be open before initiating rollover)
- [ ] Get the exact receiving institution name, address, and account number for the rollover check
Initiate the rollover correctly
- [ ] Specify "direct rollover" — funds go to the new custodian, not to you
- [ ] Confirm the check will be payable to "[New Custodian] FBO [Your Name]"
- [ ] Ask how long processing takes (typically 5–15 business days)
- [ ] Get a confirmation number or email
After the rollover
- [ ] Confirm funds arrived in the new IRA (log in or call the new custodian)
- [ ] Work with your advisor to invest the cash in the IRA — don't leave it in a money market indefinitely
- [ ] Save the 1099-R you'll receive at tax time
- [ ] Update your beneficiary designations on the new IRA
- [ ] Close the old account if applicable (some plans automatically close zero-balance accounts)
Don't forget the small stuff
- [ ] Update your address with your old plan administrator in case there are processing delays
- [ ] Note the rollover date — relevant for the 60-day rule if anything goes sideways
- [ ] If you have company stock in the plan, ask about Net Unrealized Appreciation (NUA) rules before you roll
Your advisor handles most of this — but knowing the checklist helps you ask the right questions.
- [ ] Review your vesting schedule — are all employer contributions fully vested?
- [ ] Check for any outstanding 401(k) loans (you may need to repay before rolling over)
- [ ] Ask if there are plan-specific waiting periods for departing employees
- [ ] For 403(b) plans with annuity products: check for surrender charges
Set up the destination account
- [ ] Decide whether you're rolling to a Traditional IRA, Roth IRA, or new employer plan
- [ ] Open the IRA if you don't already have one (must be open before initiating rollover)
- [ ] Get the exact receiving institution name, address, and account number for the rollover check
Initiate the rollover correctly
- [ ] Specify "direct rollover" — funds go to the new custodian, not to you
- [ ] Confirm the check will be payable to "[New Custodian] FBO [Your Name]"
- [ ] Ask how long processing takes (typically 5–15 business days)
- [ ] Get a confirmation number or email
After the rollover
- [ ] Confirm funds arrived in the new IRA (log in or call the new custodian)
- [ ] Work with your advisor to invest the cash in the IRA — don't leave it in a money market indefinitely
- [ ] Save the 1099-R you'll receive at tax time
- [ ] Update your beneficiary designations on the new IRA
- [ ] Close the old account if applicable (some plans automatically close zero-balance accounts)
Don't forget the small stuff
- [ ] Update your address with your old plan administrator in case there are processing delays
- [ ] Note the rollover date — relevant for the 60-day rule if anything goes sideways
- [ ] If you have company stock in the plan, ask about Net Unrealized Appreciation (NUA) rules before you roll
Your advisor handles most of this — but knowing the checklist helps you ask the right questions.
- [ ] Specify "direct rollover" — funds go to the new custodian, not to you
- [ ] Confirm the check will be payable to "[New Custodian] FBO [Your Name]"
- [ ] Ask how long processing takes (typically 5–15 business days)
- [ ] Get a confirmation number or email
After the rollover
- [ ] Confirm funds arrived in the new IRA (log in or call the new custodian)
- [ ] Work with your advisor to invest the cash in the IRA — don't leave it in a money market indefinitely
- [ ] Save the 1099-R you'll receive at tax time
- [ ] Update your beneficiary designations on the new IRA
- [ ] Close the old account if applicable (some plans automatically close zero-balance accounts)
Don't forget the small stuff
- [ ] Update your address with your old plan administrator in case there are processing delays
- [ ] Note the rollover date — relevant for the 60-day rule if anything goes sideways
- [ ] If you have company stock in the plan, ask about Net Unrealized Appreciation (NUA) rules before you roll
Your advisor handles most of this — but knowing the checklist helps you ask the right questions.
- [ ] Update your address with your old plan administrator in case there are processing delays
- [ ] Note the rollover date — relevant for the 60-day rule if anything goes sideways
- [ ] If you have company stock in the plan, ask about Net Unrealized Appreciation (NUA) rules before you roll
Your advisor handles most of this — but knowing the checklist helps you ask the right questions.