Indirect Rollover
What is Indirect Rollover?
An indirect rollover sends retirement funds to you first, and you have 60 days to deposit the full amount into a new retirement account. Mandatory withholding applies (10% for IRAs, 20% for qualified plans), and you must replace the withheld amount from other funds to complete a tax-free rollover. The IRS limits IRA-to-IRA indirect rollovers to one per rolling 12-month period across all your IRAs.
Why does indirect rollover matter for Gold IRA investors?
Indirect rollovers carry higher operational risk than direct rollovers. Missing the 60-day deadline converts the full amount into a taxable distribution. Failing to replace the withheld portion creates a partial taxable shortfall. Doing two indirect IRA rollovers in 12 months violates IRS rules and triggers tax. Most investors should choose direct rollover instead.