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401(k) Rollover Information
Transferring 401(k) assets from a former job into an IRA may require several steps, depending on the requirements of your retirement plan. Your first step should be to call your previous retirement plan administrator for details on how to proceed. You will probably need to follow one of these three scenarios:*
Scenario 1. Open an account and then obtain funds. Establish a Domini Funds IRA with zero funds by filling out an IRA application. Be sure to check the “Rollover IRA” box on page 1 under Type of IRA. Mail the form to us and wait for a confirmation by phone, which will include a number for your new account. If you do not receive a confirmation within 7 days, call us at 1-800-582-6757.
Give your new account number to your former plan administrator and ask for further instructions regarding the transfer of the funds. Your plan administrator will let you know if a check made out to “Domini Funds”** will be sent to you or directly to Domini. If the check is sent to Domini, you will receive a confirmation. If the check is sent to you, please send it to Domini with a completed Rollover Certification Form. To avoid tax penalties, we must receive this check within 60 days of the date it was issued.
Scenario 2. Obtain funds and then open an account. Request a check from your plan administrator made out to “Domini Funds.”** If you will be depositing the check into a new Domini IRA, send the check to us along with your completed IRA Application and Rollover Certification Form. Be sure to check the “Rollover IRA” box on page 1 of the application under Type of IRA.
If you will be depositing the check into an existing Domini IRA, send the check to us along with your completed Rollover Certification Form.
Scenario 3. Domini arranges your rollover. Fill out an IRA Application and Transfer of Assets/Direct Rollover Form and return them to us. We will then contact your plan administrator and arrange for the transfer. As long as we have all the required information, we will take care of everything else. When the transaction is complete, you will receive a confirmation in the mail that the funds have been transferred to your new Domini IRA.
If you have any questions, please call our Investor Services Center at 1-800-582-6757, between 9 am and 5 pm ET, Monday through Friday.
* The above scenarios are only intended to serve as examples of the most common ways to roll over a 401(k) to a Domini Funds IRA. The procedures you will need to follow may vary based on the information you receive from your plan sponsor.
**Please note that it is important to transfer your assets directly from your employer plan account into your new IRA account. If the money is paid to you first instead of your IRA, 20% of your assets will be withheld for federal income tax, and state income tax withholding may apply as well — even if you plan to open an IRA within the 60 days that the IRS requires.
The information set forth above is intended only as a brief, general overview of certain federal income tax provisions. It should not be considered tax, legal, or investment advice. Domini Social Investments LLC, DSIL Investment Services LLC, and their affiliates and agents are not tax advisors, and do not provide tax advice.
Each person’s financial situation is unique. All information and examples provided here are for general illustrative purposes only, and are addressed in general to a hypothetical reader, not to you specifically. Tax law is complex, subject to change at any time, and has many rules, details, and exceptions. State and local tax law varies from federal tax law. To learn about federal tax law and rules, details and exceptions concerning IRAs, you should read IRS Publication 590 “Individual Retirement Arrangements (IRAs)” available at www.irs.gov or by calling the IRS at 1-800-TAX-FORM (1-800-829-3676). If you have questions and for tax advice, you should consult a financial or tax advisor before acting.
If your company offers a SEP or SIMPLE retirement plan, call 1-800-582-6757 to ask how to add the Domini Funds to your plan.