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| Definitions by InvestorWords.com |
| What is...? |
| direct rollover A distribution from an employer-sponsored plan – such as a 401(k), 403(b), or 457 plan – that is remitted directly to the trustee, custodian, or issuer of the receiving IRA and reported to the IRS as a rollover. Rollovers usually take place after an account owner retires or switches jobs, or when an employer terminates a plan. |
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