Only one rollover per 12-month period is allowed. This 12-month rule applies to each separate IRA or CESA plan a holder owns.
	When an individual takes money from an IRA or CESA and intends to roll the funds, he/she is taking a distribution from the IRA or CESA. The rollover must be completed within 60 days or the money may be subject to taxes and applicable penalties.
	The 60 day time frame begins on the day after the IRA or CESA holder receives the rollover distribution.
	Required minimum distributions for IRA holders age 70 ½ or older must be withdrawn prior to a rollover distribution.
	Rollovers are reported to the IRS on forms 1099-R and 5498 by the financial institution.
	Rollovers can be from a CESA to a CESA, an IRA to an IRA, or a rollover can be from a Qualified Retirement Plan (QRP) into an IRA. Qualified Retirement Plans include Pension plans, Profit sharing plans, Stock bonus plans, ESOPs, Keogh plans, and Federal thrift savings plans.  If a rollover is from an IRA into an IRA, it is subject to the 60-day time frame and one rollover per 12-month time period for each IRA plan.
	If a rollover is from a QRP into an IRA then there is a mandatory federal income tax withholding: 1. The IRS requires that the original trustee withhold 20% of the total distribution as a prepayment of income tax. If you are under age 59½ and to avoid a 10% IRS penalty, you must rollover 100% of the distribution. In addition, the individual must deposit 20% out of pocket and request a refund when filing taxes. Then the individual has 60 days to reinvest the distribution into an eligible retirement plan or the distribution becomes taxable income. 2. In order to avoid the mandatory 20% withholding, the funds may be directly rolled over. Please see direct rollovers for more information.

If you are interested in rolling over Qualified Retirement Plan funds, IRA funds or CESA funds into your First Bank IRA or CESA, please see a Financial Service Representative at your local First Bank Branch.