How to Transfer a Traditional IRA from Charles Schwab to Fidelity

As your financial goals evolve, so might your preferences for where and how you manage your retirement savings. Whether you’re seeking different investment tools, updated fee structures, or broader research resources, transferring a Traditional IRA between financial institutions—such as from Charles Schwab to Fidelity—can be a practical step toward aligning your retirement plan with your current strategy. The process is typically straightforward when broken down into manageable steps.

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 Fidelity 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 Transfer Parameters

Transferring a traditional IRA from Charles Schwab to Fidelity requires careful preparation. You’re moving a retirement account between two reputable financial institutions, which means following specific protocols to maintain the tax-advantaged status of your funds.

A direct transfer ensures you won’t incur any unexpected tax penalties. This method moves your funds directly between providers without you taking possession of the money, which protects you from unintended tax consequences.

Step 2: Prepare Your Accounts

Before initiating the transfer, you’ll need an active Fidelity Traditional IRA. If you haven’t opened one yet, that’s your first step. The account type must match exactly — Traditional IRA to Traditional IRA.

What You’ll Need:

✅ Active Fidelity traditional IRA account

✅ Your Charles Schwab IRA statement

✅ Personal identification documents

✅ Social Security Number

✅ Current contact information

Step 3: Gather Required Documentation

Financial institutions require specific documentation to process retirement account transfers. Gather these in advance to streamline the process.

✏️ Hypothetical Example: John’s transfer process went smoothly because he had his most recent IRA statement, Social Security Number, and driver’s license ready before submitting the request.

📝 Tip: Verifying all personal and account details beforehand can help avoid delays during the transfer process.

Step 4: Initiate the Direct Transfer

Contact Fidelity to begin the transfer. You can usually complete the request online or by calling their customer support. Provide details about your Charles Schwab IRA, including:

✅ Account number

✅ Transfer amount (full or partial)

✅ Receiving Fidelity IRA account information

✏️ Hypothetical Example: If you have $50,000 in your Charles Schwab traditional IRA, you can choose to move the full amount or just a portion.

Step 5: Select Your Transfer Type

Decide whether you want a full or partial transfer:

Step 6: Understand Potential Transfer Fees

While most transfers are free, be aware of potential costs:

📝 Remember: Always verify any applicable fees directly with both institutions before proceeding.

Step 7: Consider Tax Implications

Direct transfers between traditional IRAs are generally tax-neutral. However, consult a tax professional to ensure you’re not triggering any unexpected tax events.

Step 8: Final Verification and Tracking

Once your transfer request is submitted:

✅ Monitor the status through Fidelity’s online dashboard
✅ Confirm that the correct amount is received
✅ Review your new IRA to ensure allocations are correct

Most transfers are processed within 5–7 business days, though certain investments may take longer to settle. Contact either provider if the transfer is delayed beyond two weeks.

📌 If you’re looking for more guidance, these resources may help:

Wrapping Up Your IRA Transfer Journey

Transferring a Traditional IRA from Charles Schwab to Fidelity involves careful preparation and attention to detail. The key takeaways are straightforward: ensure both accounts are set up, complete all required documentation accurately, and use a direct transfer method to avoid potential tax complications. Most transfers are processed within 5–7 business days and are typically free of charge, but it’s always advisable to review all associated fees and consult with both institutions to ensure a smooth rollover process.

Next steps:

✅Verify all account details before initiating the transfer.

✅Keep copies of all submitted and received documentation.

✅Double-check that you’re transferring between compatible account types.

📌 Want to dive deeper? Here are some other helpful (and free) resources:

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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/).