If you’d like to request a distribution (withdrawal) from your Guideline IRA, you should first confirm the type of distribution you would like. Some types of distributions may result in IRS penalties, which may affect your decision.
From your Guideline IRA, you have the choice to distribute funds to yourself or transfer/rollover your funds to another IRA or qualified retirement plan with a different provider.
How to initiate your distribution
To start the distribution process, click on Money movement in the main menu, then Move money out.
You’ll then be able to select whether you’d like to access your funds in cash or consolidate your accounts via an IRA transfer.
Cash distribution to you
If you would like to withdraw your funds in cash, complete the following steps:
Click Access funds.
Enter the purpose and amount you would like to remove from your account. Note, the purpose entered is not used when generating your 1099-R and is not saved once you move past the screen.
Review the IRA cash distribution option for important information regarding your withdrawal. If you would like to proceed, click the “Select” button. (Note, if you also have a 401(k) account, you may see alternate withdrawal options. Learn about 401(k) withdrawal options.)
Read the tax and delivery disclosures, then click the “Start” button to begin the IRA distribution application. You’ll need to complete the following steps:
Confirm your account and contact information
Enter the distribution reason
Select the account(s) you would like to remove funds from
Enter the withdrawal type (early distribution or withdrawal with disability exemption)
Enter the amount you’d like to withdraw
Elect your federal and state tax withholding
Click “Submit request.” You will then receive a confirmation number and information regarding the processing and delivery.
Direct rollover and transfer request
To complete an IRA rollover or transfer, complete the following steps:
Click Consolidate Accounts.
Within the “IRA transfer or rollover” card, click the “Select” button.
Select how you would like to move your IRA funds. To complete an IRA-to-IRA transfer or rollover to an eligible retirement plan, select “Move funds to another financial institution.”
Verify your personal information and click “Save and continue.” After your information has been verified, you will be asked to give a reason for transferring or rolling over your money. Select one of the given options or write your own reason in the box provided.
Select the IRA you wish to transfer or rollover funds from. You can choose to do a partial or full transfer/rollover. Make sure to save and continue.
Next, select the account type and complete the check details for your new financial institution. You’ll need to provide the following information:
Financial institution name: Name of the institution where the funds are going
Account type:³ Type of account you are transferring or rolling over to (e.g., IRA, 401(k), etc.)
Check payable to: How the check should read (e.g., Fidelity FBO Jon Smith)
Memo line: Any additional details the other financial institution is requiring
Finally, you’ll be taken to a Review screen to confirm the information for the transfer or rollover. At this point, you can submit your request or go back and make updates if needed.
Once the request is finalized, you will receive a confirmation email. Please note, it generally takes 2-3 weeks for the request to process and an additional 7-10 business days for the check to be mailed.
For a direct transfer or rollover, the check will be mailed to your address on file. You will need to forward the check to your new financial institution.
This article is for informational purposes only and is not to be construed as tax advice. For more information, consult a qualified tax advisor.
¹ If your request is going to a foreign address, based on your citizenship, you will need to upload form W-8BEN or W-9 via the Shared Files folder within your Guideline account. In addition, there may be mandatory federal withholding applied to your distribution.
² The rollover method described herein is not a taxable event. It is reported to the IRS as a direct rollover, and you will receive a 1099-R with a code G in Box 7 indicating the direct rollover.
³ If you are requesting a transfer to another IRA account, you will need to provide us with a Letter of Acceptance from the new financial institution and upload it to your Shared Files folder.