With the popularity of the self-directed solo 401k exploding in recent years, those who qualify for a solo 401k will often initially fund the plan by transferring their Vanguard brokerage IRA.
The following information will be helpful when working with your solo 401k provider to process the non-taxable IRA direct-rollover.
NOTE: If you use My Solo 401k Financial as your solo 401k plan provider, they will fill out the Vanguard IRA brokerage transfer-out form for you.
The Vanguard Brokerage IRA Distribution Form Applies
How to fill out the Vanguard Brokerage IRA Distribution Form
- Section 1: Enter your IRA brokerage account number and enter the last 4 digits of your SSN
- Section 2: Select “Traditional rollover to an employer plan”
- Section 3: Select the box you want. Enter dollar amount if partial. If you want to transfer all, check the box for all.
- Section 4.D: The check should be made payable in the name of the solo 401k plan and mailed to you for deposit into the solo 401k account.
- Section 5: Select “Don’t withhold federal income tax….,” and “Don’t withhold state income tax…”
- Section 6: Sign and Date
Submitting the Signed Vanguard IRA Brokerage Form to Vanguard
- Vanguard will only accept the the IRA Transfer form by mail.
- Please submit the completed form to Vanguard by mail. Their mailing instructions are at the bottom of the form. Note: Vanguard will not accept a fax or electronic submission of the transfer form.
The Next Steps After Submitting the Vanguard IRA Brokerage Form to Vanguard
1. You will need to call Vanguard 2 to 3 business days later to determine if they received your signed transfer form and if they have any questions.
2. If Vanguard has any questions regarding the transfer request, you should conference your solo 401k plan provider since they don’t have access to your IRA account.
3. Once you receive the transfer check in the mail, confirm that it was made payable in the name of the solo 401k plan, and then deposit the check directly into the solo 401k account that is for your benefit.
4. Sign the back of the check Since you are the trustee of the solo 401k plan, and list the name of the solo 41k plan, and the account number.
5. Deposit the transfer check at the local branch.
Can I Fill Out the Vanguard IRA Transfer Myself QUESTION:
I would like to fill out the account numbers and balances myself. Any chance you could just point me to the forms or explain the process?
Yes. Please contact Vanguard and ask them for their most current version of IRA Distribution form. For RRDFT.
Once you obtain the form from them please provide to us.
We can walk you through the form from beginning to end.
Option D is the section where it is particularly important to fill out correctly so a rollover check will be created.
Vanguard has two types of IRA accounts.
They have mutual fund accounts and brokerage accounts.
There is a different form for each type.
Please confirm if you have brokerage accounts for your IRAs or if you have mutual fund accounts for IRAs.
