Retirement Rollovers (2025)
Direct rollovers avoid withholding; indirect rollovers have 60-day rules. Follow best practices to avoid taxes and penalties.
Direct vs Indirect
Direct rollovers move funds trustee-to-trustee and avoid mandatory withholding. Indirect rollovers require redeposit within 60 days to avoid tax.
Pitfalls to Avoid
- Missing 60‑day deadline on indirect rollovers
- Withholding mistakenly applied on rollovers
- Rolling after distribution taxed as early withdrawal
Resources
Check plan documents and use trustee-to-trustee transfers when possible. Consult plan administrators for rollover forms and options.