Video instructions and help with filling out and completing Fill Form 8815 Distribution

Instructions and Help about Fill Form 8815 Distribution

Okay congratulations you got your 401k establish you've established your checking account now it's time to start moving the assets into the retirement plan how do you do that well we've got a form for doing this and let's just walk through this step by step now first big warning on this form and the whole process many times your current investments will have surrender fees you need to make sure that you know what if any surrender fees are gonna be due by moving these assets over to your brand-new self-directed retirement plan other issue to be aware of chances are your current custodian or your employer already has a form they want you to fill out in order to request those funds if that's the case by all means use the their form you don't need to use this form other aspect whoever we set up the checking account with let's say as well as Fargo they aren't your custodian they aren't your third-party administrator their role is strictly to be the checking account provider for you so if your current custodian asks for Wells Fargo to sign something it's not gonna happen you are the trustee of your 401k plan and it's you who's gonna sign and provide that document final aspect you cannot roll over or transfer a Roth IRA into your 401k yes this 401k has Roth features but you can only transfer a rollover a Roth 401k account into a Roth 401k account you cannot transfer a rough IRA into a Roth 401k so with all that let's just get down to the meat of the matter right up top we have participant information that is you you are the participant really simple stuff fill out your name up here your social security number your phone number fax number street address city state zip boom that was easy enough next fill in the information for the current custodian the current trustee whoever is currently holding the money or the assets of the retirement plan this is where their information goes so you put in their name your account number with them and then put in their address information in this area then we get down to what you asking them to transfer what are you gonna ask for them to move directly to you well if you want to have them liquidate all the assets in the account and then just send you the cash go to area a to section a and what you would do is say please liquidate all assets in my account and either a why are the proceeds to the bank information below that's down here or mail a check using the information in Section C below that would be over here so that's if you want them to liquidate everything and just move cash into the account you would then check this box and then you would also select how you want the funds to get there either by wire or to have the mail a check section B this is if you only want to move a portion of the assets let's say that you got 200,000 sitting inside a retirement plan and you only want to move 25,000 dollars you would say please liquidate $25,000 and why are the proceeds using the bank information below down here or mail a check using the information in Section C below that's right here or alternatively let's say you had a hundred shares of IBM and you only want to sell off 25 of those shares and have the proceeds of the 25 shares moved over please liquidate 25 shares of IBM and why are the proceeds or mail a check so that's only if you want to have a partial transfer alternatively if we're talking about you already have a self-directed IRA or the custodian is holding real estate a promissory notes I don't know it's holding some asset that requires a legal title then you're going to go ahead and mark mark Section C and you're gonna say please retitle the following assets under the name of my 401k and you're gonna give them the name of the 401k what's the name they're gonna retitle those assets so you're gonna mark this if you're already own real estate inside of your retirement plan you're going to have them retitled the real estate in the name of you comma trustee of the XYZ 401k PSP the name of your 401k FBO your name that's what you're gonna do so going over it again if you're going to transfer everything select a and then select whether you want to have the money wired or mailed to you if you're just going to do a partial liquidation go ahead and select B and tell them what you want to have liquidated and then how you want the money to come to you either a wire or a cheque and then see if the assets inside the plan require a retitling which means they're a promissory note their real estate the tax lien certificates something of that nature then you're gonna select C and you're gonna have them re-- title it in your name comma trustee of the name of your 401k comma FBO your name okay that was a mouthful and by the way guys any questions on this stuff give us a call send us an email it's going to the next page next page and we make this very important whenever we're making these direct transfers we don't want your current custodian to withhold 20% that can be an absolute tax nightmare so we let them know the exact sections of the code that we are complying with this is section 34 o 5 and section 401 so we're saying look guys you don't need to withhold and so what you're gonna do is you're gonna go ahead and sign and date in this area your name