Retirement accounts aren’t set in stone, and sometimes switching providers makes strategic sense. Shifting your traditional IRA can unlock new investment opportunities and potentially better alignment with your long-term financial goals.
At Carry, we want to make financial decisions feel more manageable, even if you’re handling them outside our platform. This guide breaks down the steps to transfer your Traditional IRA from Charles Schwab to Ameriprise smoothly and penalty-free. Please note that while we try to provide the most up-to-date information, these processes are subject to change without notice, so be sure to check with your provider before moving forward.
Step 1: Understand Your Traditional IRA Transfer Basics
Transferring a Traditional IRA from Charles Schwab to Ameriprise requires thoughtful planning and attention to process. The preferred method is a trustee-to-trustee transfer, which allows funds to move directly between institutions without tax consequences or penalties. Coordinating with both Charles Schwab and Ameriprise is essential to ensure a smooth and accurate transition.
What You’ll Need:
✅ Charles Schwab Traditional IRA account number
✅ Ameriprise Traditional IRA account information
✅ Most recent IRA statement from Charles Schwab
✅ Valid government-issued photo ID
✅ Social Security Number
✅ Your personal identification details and contact information
Step 2: Prepare Your Ameriprise Account
Before initiating the transfer, open a Traditional IRA with Ameriprise. Their representatives will guide you through account setup, including completing applications and verifying personal information.
✏️ Hypothetical Example: Most investors complete account setup within 30–45 minutes by having key documents ready.
Step 3: Initiate the Direct Transfer
Request a direct trustee-to-trustee transfer from Charles Schwab. This method prevents any potential tax withholding and ensures your funds move directly between financial institutions.
Key transfer details to confirm:
✅ Correct account numbers
✅ Transfer amount (full or partial)
✅ Transfer method (electronic or mailed check)
📝 Important: Always confirm the transfer method prevents any mandatory 20% federal tax withholding.
Step 4: Complete Required Paperwork
Both institutions may require transfer authorization forms. These will include your account numbers, transfer instructions, and identity verification.
✅ Personal identification verification
✅ Account numbers
✅ Signature authorization
✅ Transfer instructions
✏️ Hypothetical Example: John completed his transfer forms in about 20 minutes by preparing documents ahead of time.
Step 5: Understand Transfer Timeline
Transfers typically take 5–10 business days, though processing may take longer if additional verification is needed or if mailed checks are used.
Factors that affect timing:
- Completeness of documents
- Internal processing schedules
- Transfer method selected
Step 6: Verify Transfer Fees
While most IRA transfers are free, Charles Schwab may charge a $50 fee for a full account closure. Ameriprise does not charge any fees for processing incoming transfers into their IRAs.
📝 Tip: Always ask each financial institution about any potential hidden transfer fees before proceeding.
Step 7: Consider Tax Implications
A trustee-to-trustee transfer between Traditional IRAs is not a taxable event. Ensure the transfer occurs between like account types to maintain tax-deferred status.
✏️ Pro Tip: Transferring from a Traditional IRA to another Traditional IRA maintains your existing tax structure.
Step 8: Confirm the Transfer Completion
Once the transfer is initiated, monitor both accounts. Confirm that the full balance was received, no unexpected charges were incurred, and your new Ameriprise account reflects the correct information.
✅ Verify final balances
✅ Review account allocations
✅ Save all documentation for your records
📌 If you need any additional guidance, be sure to check out these related articles:
Wrapping It Up: Your IRA Transfer Roadmap
Transferring a Traditional IRA from Charles Schwab to Ameriprise can be a smooth process with the right preparation. The most important steps include selecting a trustee-to-trustee transfer to avoid tax implications, double-checking all documentation for accuracy, and maintaining open communication with both institutions throughout the process. While many transfers are free of charge, it’s always wise to confirm any potential fees in advance.
Your next steps:
✅ Confirm your Ameriprise Traditional IRA is set up and ready
✅ Initiate a trustee-to-trustee transfer
✅ Monitor the transfer and follow up to ensure successful completion
📌 Want to dive deeper? Here are some other helpful (and free) resources:
Disclaimer:
The Carry Learning Center is operated by The Vibes Company Inc. (“Vibes”) and contains generalized educational content about personal finance topics. While Vibes provides educational content and technology services, all investment advisory services discussed on this website are provided exclusively through its wholly-owned subsidiary, Carry Advisors LLC (“Carry Advisors”), an SEC registered investment adviser. The information contained on the Carry Learning Center should not be construed as personalized investment advice and should not be considered as a solicitation to buy or sell any security or engage in a particular investment, accounting, tax or legal strategy. Vibes is not providing tax, legal, accounting, or investment advice. You should consult with qualified tax, legal, accounting, and investment professionals regarding your specific situation.
The accounts, strategies and/or investments discussed in this material may not be suitable for all investors. All investments involve the risk of loss, and past performance does not guarantee future results. Investment growth or profit is never a guarantee. All statements and opinions included on the Carry Learning Center are intended to be current as of the date of publication but are subject to change without notice.
To access investment advisory services through Carry Advisors, you must be a client of Vibes on an eligible membership plan. For more information about Carry Advisors’ investment advisory services, please see our Form [ADV Part 2A] (https://files.adviserinfo.sec.gov/IAPD/Content/Common/crd_iapd_Brochure.aspx?BRCHR_VRSN_ID=916200) brochure and [Form CRS] (https://reports.adviserinfo.sec.gov/crs/crs_323620.pdf) or through the SEC’s website at [www.adviserinfo.sec.gov] (http://www.adviserinfo.sec.gov/).