Did you accidentally exceed your IRA contribution limit and need to remove it? You can remove excess contributions to your Traditional, SEP, or Roth IRA by following the instructions below. You can find the forms mentioned below by visiting our Forms and Agreements page by clicking here. Please send all completed forms to email@example.com.
What is an excess IRA contribution?
An excess contribution is when you contribute (or deposit) more than the allowed limit set by the IRS to your IRA account. If this sounds like the situation you are in, then please follow the instructions below. To check how much you have contributed to a specific tax year, please click here.
Do you have multiple IRA accounts and accidentally contributed to the wrong IRA account and need to recharacterize it? If so, then please click here.
Did you make an IRA contribution but accidentally contributed to the wrong tax year? If so, then please click here.
When removing an excess contribution please keep in mind the following
- Your gross distribution amount must include the Net Income Attributable (NIA). The NIA calculation method lists in IRS Publication 590-A, Worksheet 1-3. For a shortcut to the calculation, please click here to visit the IRS.
- When calculating your NIA, you can locate the fair market value of your IRA for the month before your contribution by referring to your monthly statement.
- When disbursing funds, you may not internally transfer funds to a different IRA account.
Remove excess contributions from a Traditional or SEP IRA
Fill out an IRA Distribution Request form
If you contributed too much to your Traditional IRA or SEP IRA and need to remove your excess contribution, you can start by filling out an IRA Distribution Request form. Please refer to the illustrated guide below to learn how to fill out the form properly.
How to remove an excess contribution from a Roth IRA
Fill out a Roth IRA Distribution Request form
If you contributed too much to your Roth IRA and need to remove your excess contribution, you can start by filling out a Roth IRA Distribution Request form. Please refer to the illustrated guide below to learn how to fill out the form properly.