Initiate your rollover with Principal
You’re making great progress. You’ve confirmed key details about your 401(k) plan and you have an IRA to transfer your money into. The next step is to initiate your rollover with Principal. Principal has a few methods for requesting a rollover to another institution:
- online through your Principal Financial account
- by filling out Principal’s rollover authorization form
- by calling Principal
The simplest way to submit a rollover request with Principal is by logging in to your online Principal account.
One you’re logged in, look for an option like “move assets”, “roll over money”, or “start a distribution”. These options can sometimes be hidden under an “actions” or “withdrawal” menu.
Ultimately, the option you want to select should explicitly say “rollover” and you’ll often need to specify that you want to move your funds “out of the plan” or “to another institution”.
Two other important tips to keep in mind while going through the online process:
- Opt for a direct rollover into an IRA at another institution — this is easier than an indirect rollover.
- You may be asked how much of your balance you want to roll over. It’s easier to do a full rollover so you don’t leave any money behind.
Authorize via Form
Rolling over via form allows you to avoid a human conversation but can sometimes get rejected which will prolong the process. If you’ve confirmed that your mailing address and contact information on your account is correct and that your plan is eligible for a rollover, initiating your rollover via form is worth considering. If you aren’t sure, you may want to initiate your rollover over the phone or online to avoid any issues during processing.
You can download the Principal direct rollover form by logging into your online account. Once you’re logged in, follow these steps:
- Go to the “Rollovers” menu, and choose “Rollover IRA”,
- Choose “Roll money outside Principal”
- Hit the “Request rollover” button, which should download a PDF
Once you have the form, you’ll need to fill out, sign, and send it back to Principal by mail or fax. The mailing address and fax number can be found on the rollover form.