Frequently Asked Questions

Quick answers to your most immediate questions

How can we help you?

  • Where did the money in my IRA come from?

    When you worked at your former company, you had a company-sponsored retirement account such as a 401(k). After you left, the plan sponsor authorized the rollover of your money into an "Automatic Rollover IRA" with Millennium Trust Company. This typically occurs because your balance was below $5,000, you had an outdated address on file, or your retirement plan was terminated.

  • Who is Millennium Trust Company?

    We are a financial institution that has an agreement with your former retirement plan provider — giving us the authority to provide IRA services to you. We provide custody services to over 620,000 clients and have client service specialists ready to help you. To learn more about Millennium Trust, visit the About page.

  • How is my IRA currently invested?

    The balance of your IRA is initially held in an FDIC-insured, interest-bearing bank account. You have the choice to direct investments in stocks, bonds and mutual funds in your IRA.

  • What does "Cash Sweep Account" mean?

    Millennium Trust provides a Cash Sweep Program for the investment of idle cash in multiple unaffiliated banks that provide up to $5 million in FDIC insurance per account. When viewing your account statement or your holdings online, the cash balance held in the program is reflected as "Cash Sweep Account".

  • Can I make additional contributions?

    Yes, if you are eligible to fund an IRA, then you may make contributions to your Millennium Trust IRA up to the IRS's annual contribution limit. You may also transfer funds from another IRA or an employer sponsored plan.

  • Can I take a distribution?

    Yes, you have several options — take a direct distribution, rollover your IRA funds to your current employer's qualified plan or transfer your IRA to another provider. For details, visit the automatic rollover IRA offerings page.

  • How do I request a distribution?

    You may submit a request through our online distribution request form.

  • How is/are the beneficiary(ies) determined?

    The terms of your former retirement plan are no longer applicable and any specified beneficiary designation ended when the rollover was made. You should specify your beneficiary designation(s) by completing the Automatic Rollover IRA Form. If you do not designate a beneficiary for your Millennium Trust IRA, at the time of your death, a default beneficiary designation will apply according to the terms of the IRA Custodial Agreement. The IRA beneficiary(ies) default to the IRA owner's spouse or the children or the estate, depending upon who survives the IRA owner.

  • Are there fees associated with my account?

    Millennium Trust charges a one-time fee to establish an IRA in your name and an annual fee for custody and investment services. After the first year, your account is charged an annual fee in the same month the account was established.

  • Will I receive a tax form 1099-R?

    The 1099-R is used to report rollovers and/or distributions from qualified retirement accounts and IRAs. You will receive a 1099-R during the calendar year if:

    • Your qualified retirement plan rolled over to an IRA for you at Millennium Trust.
    • You took a taxable distribution or executed a direct rollover to a current employer's qualified plan from your IRA at Millennium Trust.

    All 1099-Rs will be mailed by January 31 of the year following the above event(s).

  • Will I receive a tax form 5498?

    The 5498 is used to report contributions, including rollovers, made to an IRA for the current tax year. You will receive a 5498 if:

    • Your qualified retirement plan was automatically rolled over to an IRA for you at Millennium Trust and/or you made any other current year contributions.

    It also is used to report the fair market value (FMV) of your IRA as of December 31 of the reporting year. The 5498 will be mailed by May 31 in the year following the above event(s).

  • What is an alternative investment?

    An alternative investment is any asset that is not publicly traded. Examples of alternative investments include: hedge funds, private equity or debt, real estate and precious metals, among others.

  • Why do I need a specialized custodian such as Millennium Trust?

    In 1974 Congress authorized the use of Individual Retirement Accounts (IRAs) to help Americans save for retirement. Under this rule, they stipulated an IRA must be held with a qualified custodian — traditionally a bank, brokerage firm or trust company. While perhaps the majority of IRA owners have opted to hold traditional investments (stocks, bonds, mutual funds), alternative assets can also be held in IRAs. Few custodians are willing to handle such assets due to the complexity of these investments. Millennium Trust Company is an expert in this area and currently custodies over 11,000 unique alternative assets.