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Ken and Sarah answer your questions
For more than 60 years, through all kinds of market conditions, Fidelity has been helping people like you pursue their financial goals. Ken Hevert and Sarah Walsh, who lead our Ask Fidelity team, have spent decades helping investors understand retirement strategies. They can help put Fidelity’s expertise to work for you.
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As you mentioned, the electronic funds transfer (EFT) capability only allows for annual contribution amounts to be deposited into your IRA. There are a few other ways though that you can roll the funds you withdrew back into your Roth IRA.
1. You can use mobile check deposit through the Fidelity Investments app. Our app for smartphones and tablets is free to download. In addition to providing updated information on your accounts at Fidelity, as well as trading and research capabilities, you can also scan checks for deposit through the app.
If you’d like to proceed this way, you can write a check off of your joint account and scan it for deposit to your Roth IRA. The app will ask you to specify how the deposit should be recorded in your account, as an annual contribution or as a rollover. Additional information about this deposit capability can be found here: https://www.fidelity.com/mobile/mob...
2. You can write a check from your joint account and send it to Fidelity for deposit as a rollover at either of the following addresses:
Attn: Direct Rollovers
PO Box 770001
Cincinnati, OH 45277-0037
Attn: Direct Rollovers
100 Crosby Parkway KC1H
Covington, KY 41015-0037
3. Finally, you can write a check off of your joint account and, if you live near one of our Investor Centers, bring it in for deposit. You can check to see where the nearest branch is here: http://www.fidelity.com/branchlocat...
I hope you find this information helpful. Thank you again for your question.
I put in 6.5k for myself and 5.5k for my wife. Maybe this is the going rate, I don't know but it seems high to me especially for such small account. If I were to transfer these to Fidelity and link them to my checking account and not trade much but contribute monthly, could I do better than 40 dollars a month per account when all of the fees are paid ?
Give us a call at 800-343-3548 if you want to discuss ways to avoid investment-specific fees in your IRAs.
With a Fidelity Roth IRA, he would have all of the options available in our full brokerage account. You can find more information about opening a Roth IRA on this page: https://www.fidelity.com/retirement...
Thanks for the question.
I currently have my 401K with Fidelity. ($400+)
I am currently paid in America, work in India, but I am English and will eventually retire in England.
I will get a full American Pension from Social Services.
My Pension will put me above the tax threshold.
So I will pay tax on each withdrawal from my 401K.
Why shouldn't I just cash in my 401K at retirement, pay tax, then close it down?
Or are there any cool ways to minimize tax?
Thanks for your guidance.
Also, once funds are taken out of a tax-deferred account like the 401(k) you have, you lose the ability for those assets to grow tax-deferred. Over time, earnings generate their own earnings, helping an investor accumulate more money than you would in an ordinary taxable account. If you retire at 65 and live until 92, you could be missing out on tax-deferred growth and earnings for close to 30 years.
One thing you could consider would be contributing to either a Roth IRA or Roth-designated 401(k). Money contributed to a Roth is generally post-tax, grows tax-free and is generally tax-free upon withdrawing it later on in retirement. You could check with your plan to see if they have a Roth-designated 401(k) option and consider contributing to that instead of your current, pre-tax contribution plan.
If you are interested in learning more about Roth conversions or Roth IRAs, please take a look at these Fidelity Viewpoints® articles on the topic: https://www.fidelity.com/viewpoints... https://www.fidelity.com/viewpoints... or, https://www.fidelity.com/viewpoints...
Thanks again for your question and I hope that this information helps you in figuring out what the right choice may be for your situation.
Important Additional Information:
A distribution from a Roth IRA is tax-free and penalty-free provided that the five-year aging requirement has been satisfied and one of the following conditions is met: age 59½, death, disability, qualified first time home purchase.
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