Rollovers – Frequently Asked Questions

[Pages:3]Rollovers ? Frequently Asked Questions

Q: What is a rollover?

A: A rollover is money transferred from a qualified retirement plan, such as a 401(k) plan, into another

401(k) plan or an Individual Retirement Account (IRA). If you have money in your previous employer's plan, you may want to roll over your accounts into your 401(k) account to make it easier to monitor and manage your retirement savings.

Q: How do I request a rollover?

A: To roll over money from another qualified plan to your

Insperity account, download the Rollover Contribution Form. You can also call the Insperity 401(k) Contact Center at 866.715.3552, option 3, to request the form. Remember, you must first contact the plan administrator of the other plan or the trustee of your IRA to request a distribution.

Rollovers: A Two-Step Guide

1. Provide the issuing institution with the correct instructions on how to make your rollover check payable.

Payable to: BNY Mellon FBO (your name)

Q: Can I roll over money from my IRA? A: Yes, if it is eligible to be rolled over and would be

otherwise taxable to you if distributed.

Q: From what other types of plans can the 401(k) plan accept rollovers?

A: Generally, plans serviced by Insperity Retirement Services

will accept a direct or indirect rollover from any of the following:

? A qualified plan described in Section 401(a) or 403(a) of the Internal Revenue Code, excluding after-tax contributions

2. The rollover check should be mailed directly to you. Once you have it, mail it to Insperity at the following address, along with the completed Insperity Rollover Contribution Form:

Insperity Retirement Services Attn: Processing Team 19001 Crescent Springs Drive, MC C5.8.40 Kingwood, TX 77339-3802

? An annuity contract described in Code Section 403(b), excluding after-tax contributions

? An eligible plan under Code Section 457(b) which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state

? An individual retirement account or annuity described in Code Section 408(a) or 408(b) that is eligible to be rolled over, which would be otherwise taxable to you

Direct rollovers are accepted from a qualified Roth contribution program under any of the following: ? A qualified plan described in Section 401(a) of the Code ? An annuity contract described in Code Section 403(b)

The 401(k) plan cannot accept wire transfers, personal checks or "in-kind" rollovers.

Q: Can the 401(k) Plan accept indirect rollovers? A: Yes, in most cases, plans serviced by Insperity Retirement Services can accept indirect rollovers from a

qualified plan. Indirect rollovers generally must take place within 60 days from the day you received the initial distribution. Note: The 401(k) plan cannot accept indirect Roth rollover money, wire transfers, personal checks or "inkind" rollovers.

Q: What's required for the plan to accept Roth (after-tax) money from a direct rollover?

A: To complete the rollover, Insperity Retirement Services must receive additional information from the

administrator of the distributing plan. This is noted on the Rollover Contribution Form. NOTE: The Plan cannot accept indirect Roth rollovers.

Q: Can I roll over money into the 401(k) plan before I am eligible to participate?

A: In most cases, yes. Your rollover will be invested in the Plan's default investment unless you make an

investment election(s). Call the Insperity 401(k) Contact Center at 866.715.3552, option 3, for more information.

Q: Can I roll over a loan from another 401(k) plan to my Insperity account? A: Generally yes, as long as all of the requirements listed below are met. See page 3 for instructions.

? The plan from which the loan is being rolled over must be a qualified 401(k) plan. ? The loan payment status must be current at the time of distribution. ? The entire account balance must be rolled over from the previous employer's plan.

Q: If I terminate employment, can I roll over my existing 401(k) loan with Insperity to another qualified plan?

A: Yes, as long as the requirements (listed on the next page) are met and the plan to which you are rolling

over the loan will accept it. (Most retirement plans generally do NOT accept loan rollovers.)

To roll a loan out of your 401(k) account:

? You must have terminated employment.

? The plan that will receive the rollover loan must be a qualified plan. The entire balance must be rolled over to the new employer's plan; rollovers of loan assets only are not permitted.

? The rollover generally must take place within 60 days of the day you receive your distribution from the plan.

Note: If you do not transfer your loan through a direct rollover, you will receive a Form 1099-R in January of the year following your distribution. This Form will reflect the amount of your outstanding loan as a distribution to you. It is your responsibility to complete the rollover process and to ensure that it is correctly reflected as a rollover when you complete your tax return.

To request a loan rollover form, call the Insperity 401(k) Contact Center at 866.715.3552, option 3.

Instructions: Loan rollovers into the 401(k) plan

1. Reach out to the Insperity Contact Center at 866.715.3552, option 3, to obtain the Loan Rollover Contribution Form.

2. Fill out the top and signature portions of the form and send it to your current provider to fill it out the middle portion that lists the loan details. The plan administrator must also sign the form.

3. Begin the process of requesting a rollover distribution from the vendor that holds your assets and loan. You may be required to fill out a distribution form for the vendor.

4. When you receive the completed Loan Rollover Contribution Form and your rollover check from your current provider, send it to:

Insperity Retirement Services Attn: Processing Team 19001 Crescent Springs Drive, MC C5.8.40 Kingwood, TX 77339-3802

After the rollover is completed, loan payments are resumed.

Instructions: Loan rollovers out of the 401(k) plan

1. Reach out to the Insperity Contact Center at 866.715.3552, option 3, to obtain the Loan Rollover Distribution Form.

2. Fill out the top portion of the Form, including your signature, and then send it to:

Insperity Retirement Services Attn: Processing Team 19001 Crescent Springs Drive, MC C5.8.40 Kingwood, TX 77339-3802

3. From here, Insperity will populate the loan details and return the Form to you.

4. After the Form has been returned to you, you will need to request a rollover distribution out of the 401(k) by accessing your account online. Your rollover check will be mailed to you.

5. Send the completed Loan Rollover Distribution Form and your rollover check to your new provider.

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