Rollovers

To transfer your Traditional IRA to a Roth IRA is called a conversion. There is no fee for processing a conversion.

To convert your ShareBuilder IRA from a Traditional IRA to a Roth IRA, follow the steps below:

1. Open a Roth IRA account
2. Sign in at www.sharebuilder.com
3. Go to Accounts > Overview > Forms & Applications (sign in required)
4. Under 'Manage IRAs & ESAs', look for 'Convert an IRA from Traditional to Roth'
5. Click the link to View and print the form
6. Sign the form and have it notarized or Medallion Signature Guaranteed
7. Mail or fax the form to us:
   
   Capital One ShareBuilder, Inc.
   PO Box 4249
   Seattle, WA 98194-0249
   
   Fax: 888-389-1025

Note: There are specific requirements that must be met in order to convert a Traditional IRA to a Roth IRA. If you have any questions about your eligibility, we recommend that you consult a qualified tax advisor.

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Want to move money from your former employer's retirement plan without tax consequences or other penalties? Just roll over a qualified retirement plan (such as a 401(k)) to a ShareBuilder Rollover IRA (Traditional IRA). To get started:

1. Sign in at www.sharebuilder.com
2. Open a ShareBuilder Rollover IRA (Traditional IRA)
3. Go to Accounts > Forms & Applications (Sign In required)
4. Select Roll over a Retirement account into an IRA

Tip: Some rollovers can go into a Roth IRA. For more details, please contact a Retirement Specialist by calling toll-free 877-464-0292.

To roll assets in your ShareBuilder Traditional IRA directly to an Employee Sponsored Retirement Plan, you must first check with your employer or plan administrator to determine the required method. Some plans do not allow for the rollover of IRA assets while others may not allow a rollover of securities and require that each security be sold prior to the rollover. The Plan Administrator will be able to tell you the rules specific to your plan.

Once you have determined that the rollover will be allowed you will need to determine how your Plan Administrator handles direct rollovers.

For a direct rollover you will be required to do one of the following:

• "Roll In" Form – Some Plan Administrators have specific paperwork that needs to be completed to request a rollover. It will include such items as: your name and account number, to whom ShareBuilder must make the check payable, and where to send it. To initiate the rollover, ShareBuilder requires that you mail a copy of this paperwork. ShareBuilder also requires that your signature is Medallion signature guaranteed.
• Letter of Acceptance – If your Plan Administrator does not have paperwork such as a "roll in" form or a rollover application, you may instruct ShareBuilder to send a letter requesting that the Plan Administrator confirm in writing that they will accept the rollover. To receive a Letter of Acceptance from ShareBuilder, please provide the following:
  • Employer or Plan Administrator name and address
  • Your name, employer plan account number or your Social Security number
  • Your name as it appears on the ShareBuilder IRA and account number (not Roth or ESA)
  • Rollovers from an IRA to an employer sponsored plan incur the same $75 charge as other full transfers out. Funds need to be made available in the cash balance before the rollover can be processed.

Indirect rollover

As an alternative to a direct rollover you may be able to take a distribution from your Traditional IRA, payable to you, and then roll the assets to your employer sponsored plan, provided the plan allows this method. The IRS requires that the assets from your Traditional IRA be deposited into your employer sponsored plan within 60 days of receiving the distribution. If you fail to complete the rollover within 60 days taxes and penalties may apply. You should check with your Plan Administrator to confirm this method is acceptable prior to electing a distribution.

You can make this distribution online as either an ACH to your bank or a check payable to you at your address on file. A $5 check request charge will apply, rather than a transfer charge, if you elect the online distribution via check; there is no charge for an ACH distribution. If you elect this method, keep in mind that some plan administrators will only take a certified check or money order and will reject personal checks.

To roll over your qualified retirement plan, such as a 401(k), 403(b), or 457(b), follow the instructions below:

1. Navigate to Accounts > Overview > Forms & Applications (sign in required).
2. Select your Traditional IRA from the `Switch Account' drop-down menu. Open a Rollover IRA (Traditional IRA) if you don't have one already.
3. Click Roll over a Retirement Account into an IRA.
4. Select 401(k), 403(b), or 457(b) from the `From Account' drop-down menu and provide all of the information needed for your rollover request.
5. Review your rollover information and click Create and Print Form to get your pre-filled form.

What do you do with your pre-filled form?

If rolling over a 401(k):

1. Contact your former employer or plan administrator to complete a copy of their Distribution/Rollover form.
2. Make sure you provide them a copy of the pre-filled instruction form you printed so they know how to handle your rollover request.

If rolling over a 403(b) or 457(b):

1. Add your full Social Security number to the form in the space provided on the form.
2. Have the form notarized or Medallion Signature Guaranteed when you sign it.
3. Print a copy of your most recent account statement for the `From Account' with the other brokerage.
4. Mail or fax the pre-filled form and your account statement using the address or fax number on the form.

Important: Your rollover request will not be processed if you do not provide a recent account statement for the `From Account.' Also, qualified retirement accounts can only be rolled over into a Rollover IRA (Traditional IRA) at ShareBuilder.

Note: Some rollovers can go into a Roth IRA. For more details, please contact a Retirement Specialist by calling toll-free 877-464-0292.

If you have received a distribution of funds from a Traditional or Roth IRA and you wish to roll the funds back into an IRA, you will need to send a new check to ShareBuilder within 60 days of the distribution. Please note that the funds must be rolled into the same type of IRA that they were initially distributed from.

When depositing the funds, you will need to include a deposit slip with the funds to indicate that it is for a rollover. To print a deposit slip, please follow the instructions below:

1. Sign in to your ShareBuilder account
2. Navigate to Accounts > Transfer Money > Deposit and Withdrawal > Checks
3. Select your Traditional IRA from the drop-down
4. Select Mail a check to your ShareBuilder Account
5. Click the View and print link under the Check Details section—a form pops up in a new window
6. Print the form and be sure to check the Rollover Contribution box on your deposit slip. Unless you are using Express Mail, all checks should be sent to:

   Capital One ShareBuilder, Inc.
   PO Box 84028
   Seattle, WA 98124-8428

All checks should be made payable to "Capital One ShareBuilder, Inc." Also, please write your ShareBuilder account number on the check.

You can transfer the assets in your non-ShareBuilder account to your ShareBuilder account as long as you meet a few simple criteria. You’ll need your other broker’s account statement to get started. Simply follow the instructions online, print your form, send it in with a copy of your brokerage account statement, and we’ll do the rest!

Start the process here:

1. Go to Accounts > Overview > Forms & Applications (sign in required)
2. Next to 'Transfer a non-ShareBuilder account to a ShareBuilder account,' click Start now
3. Follow the on-screen instructions, then click Create and Print Form to get your pre-filled paperwork
4. After printing, add your full Social Security number in the space provided and sign the form
5. Finally, mail or fax the pre-filled form with your account statement from the other brokerage

Tip: A copy of your account statement from the other brokerage is very important, and your transfer request can't be completed until we receive it. Of course there is no charge from us when you transfer an account from another brokerage. Once we receive your transfer form and statement, we'll keep you up to date on the progress of your transfer request in your ShareBuilder account (so keep an eye out). Take note: some account transfers can take up to 4 to 6 weeks to complete.

To transfer or roll over your qualified retirement plan, such as a 401(k), 403(b), or 457(b), follow the instructions below:

1. Navigate to Accounts > Overview > Forms & Applications (sign in required).
2. Select your Traditional IRA from the `Switch Account' drop-down menu. Open a Rollover IRA (Traditional IRA) if you don't have one already.
3. Click Roll over a Retirement Account into an IRA.
4. Select 401(k), 403(b), or 457(b) from the `From Account' drop-down menu and provide all of the information needed for your rollover request.
5. Review your rollover information and click Create and Print Form to get your pre-filled form.

What do you do with your pre-filled form?

If rolling over a 401(k):

1. Contact your former employer or plan administrator to complete a copy of their Distribution/Rollover form.
2. Make sure you provide them a copy of the pre-filled instruction form you printed so they know how to handle your rollover request.

If rolling over a 403(b) or 457(b):

1. Add your full Social Security number to the form in the space provided on the form.
2. Have the form notarized or Medallion Signature Guaranteed when you sign it.
3. Print a copy of your most recent account statement for the `From Account' with the other brokerage.
4. Mail or fax the pre-filled form and your account statement using the address or fax number on the form.

Important: Your rollover request will not be processed if you do not provide a recent account statement for the `From Account.' Also, qualified retirement accounts can only be rolled over into a Rollover IRA (Traditional IRA) at ShareBuilder.

Note: Some rollovers can go into a Roth IRA. For more details, please contact a Retirement Specialist by calling toll-free 877-464-0292.

If you have received a distribution from your qualified retirement plan and you wish to roll the funds into your Traditional IRA, you will need to send a new check to ShareBuilder within 60 days of the distribution. You will also need to include a deposit slip with the funds to indicate that it is for a rollover. To print a deposit slip, please follow the instructions below:

1. Sign in to your ShareBuilder account
2. Navigate to Accounts > Transfer Money > Deposit and Withdrawal > Checks
3. Select your Traditional IRA from the drop-down
4. Select Mail a check to your ShareBuilder Account
5. Click the View and print link under the Check Details section—a form pops up in a new window
6. Print the form and be sure to check the Rollover Contribution box on your deposit slip. Unless you are using Express Mail, all checks should be sent to:

   Capital One ShareBuilder, Inc.
   PO Box 84028
   Seattle, WA 98124-8428

All checks should be made payable to "Capital One ShareBuilder, Inc." Also, please write your ShareBuilder account number on the check.

Tip: If you have any question as to whether the funds that you have taken are eligible to be rolled over, we suggest that you consult your employer's plan administrator.

Modified Adjusted Gross Income, or MAGI, determines how much of your annual Traditional IRA contribution is deductable. MAGi is the "gross income" on your Federal tax form 1040 or 1040A after taking into account amounts for IRA deduction, student loan interest deduction, exclusion for qualified bond interest and a couple of other items. Consult a qualified tax advisor for more information.