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Help with IRAs

Help with IRAs

General IRA questions
Why do I need to decide to withhold taxes when I request a withdrawal from my IRA?

If you have a (pre-tax) traditional IRA, you typically haven’t paid taxes on the contributions made to your account or any earnings. When you withdraw money from a traditional IRA, the IRS treats it like income to you. You may be required to pay taxes on the withdrawal based on your current income tax bracket.

If you have an (after-tax) Roth IRA, you already paid income tax on the contributions in your account and your earnings grow tax-free. This means you don’t have to pay taxes on the money you take from a Roth IRA after age 59 ½, assuming you satisfy the 5-Year Rule from the IRS.

If you have tax questions related to your IRA, talk with a tax professional.
Can I take a loan from my IRA?

You are not able to take a loan from an IRA. However, there are certain exceptions that allow you to take a distribution from your IRA prior to age 59 ½ without a 10% early distribution penalty in order to cover certain costs—for example, making a down payment on your first home (up to $10,000), paying for higher education and for certain birth and adoption expenses. Taxes on the distribution may still apply.

Additionally, you can take money out of your account and return it within 60 days—as a rollover—and you will not have to pay taxes or penalties on the amount you put back into your IRA. This is something you can do once in a 12-month period for any IRA account.

If you have questions about how these exceptions or an early distribution could impact you, talk with a tax professional.
What is a required minimum distribution (RMD), and why do I have to take it?

An RMD is the amount you must withdraw from your IRA each year. You must begin taking RMDs for the year you turn age 73 (if you turned 73 on or after January 1, 2023) and annually thereafter. If you withdraw less than your RMD, or miss the deadline, you may be subject to a tax penalty of up to 25% of the amount you were required to withdraw for the year.

Learn how your RMD is calculated and the deadlines to withdraw.
How much can I contribute to my IRA?

How much you can contribute each year depends on several factors, including your income level and your tax filing status. Check out the current contribution limits. If you have questions on how much you can contribute, talk with a tax professional.

Principal® SimpleInvest questions
How do I take money out of my Principal® SimpleInvest account?

You may request withdrawals from your account online. Look for the Transactions tab on your account dashboard.

If the withdrawal amount is $50,000 or more to be paid by check, or $100,000 or more to be paid by ACH, or is an amount that will bring your balance below the required minimum balance of $5,000, please contact our team at 866-412-0770.
How long will it take to transfer funds from my former employer's retirement plan?

Depending on the plan’s requirements, it typically takes about seven to ten business days for an electronic transfer to be completed. Paper checks may take longer.

If you have additional funding questions, review our detailed funding instructions.
How do I add money to my account?

You can link a bank account like your personal checking or savings account to your Principal® SimpleInvest account at any time and then transfer funds from your bank account into your account. It may take a couple days for the money to transfer. To get started, log in to your account and click on the Transfer Money tab.

If you have additional funding questions, review our detailed funding instructions.
How will I be notified of my Required Minimum Distribution (RMD) amount, and how do I take it?

If you are required to take an RMD, you will be notified by Apex, your Principal® SimpleInvest account custodian. Apex is the financial institution holding your investments for safekeeping.

If you have questions about how to take an RMD, please talk with a tax professional. If you have questions about the amount you need to take from your account, contact our team at 866-412-0770.

Learn how your RMD is calculated and the deadlines to withdraw.
How do I see who my beneficiaries are and how do I make changes?

To view your current account beneficiaries, log in and select the My Beneficiary tab from your account dashboard. A list of your current accounts will then be displayed. Click on the account to view current beneficiary elections.

Remember, beneficiaries are account-specific designations. You’ll want to review your elections for all accounts and make sure they match your wishes. Not sure who to name as your beneficiary? Check out our 5 considerations for choosing retirement beneficiaries.
I want to talk to a real person. How do I contact someone about my account?

Our team is ready to help however it’s most convenient for you—by phone or email.

Call us at 866-412-0770 Monday – Friday, 8 a.m. – 5 p.m. CT or email advisedservices@principal.com.

Principal Annuities questions
How can I take money out of my IRA?

To withdraw money from your account, call us at 800-852-4450 weekdays from 7 a.m. to 6 p.m. CT.
How do I add money to my IRA?

To add money to your IRA, please call us at 800-852-4450 weekdays from 7 a.m. to 6 p.m. CT to see if this option is available to you.
How will I be notified of my RMD amount, and how do I take it?

We’ll mail you a letter in January with information about the RMD for your Principal Annuity. To make a one-time withdrawal of your RMD or inquire how to set up automatic withdrawals, call 800-852-4450 weekdays 7 a.m. – 6 p.m. CT.

Learn how your RMD is calculated and the deadlines to withdraw.
How do I see who my beneficiaries are and make changes?

To view your current elected beneficiaries, log in to your account.

If you’d like to update your beneficiary information, you’ll need to complete a beneficiary designation form (PDF).

Remember, beneficiaries are account-specific designations. You’ll want to review your elections for all accounts and make sure they match your wishes. Not sure who to name as your beneficiary? Check out our 5 considerations for choosing retirement beneficiaries.
I want to talk to a real person. How do I contact someone about my IRA?

We’re here for you and ready to help. Call us at 800-852-4450 weekdays from 7 a.m. – 6 p.m. CT.
What is your mailing address, fax and phone number?

Regular mail:
Principal Financial Group
RIS Annuity Services M-001-E10
PO Box 9382
Des Moines, IA 50306-9382

Overnight mail:
Principal Financial Group
RIS Annuity Services M-001-E10
711 High Street
Des Moines, IA 50392-1770

Fax:
866-894-2087

Phone:
800-852-4450

Principal Bank® questions
How can I take money out of my IRA?

If you have a Principal Bank Automatic Rollover IRA (also known as Safe Harbor or Plan Term IRA), a Money Market,  or an Assured Savings, you can request a withdrawal online up to $25,000. Log in to get started.

Have more questions about your Automatic Rollover IRA? Check out our automatic rollover FAQs.

If you would like to request a withdrawal of more than $25,000 or you have an IRA CD,  log in to access a distribution form through your online account. You can fax, mail, or email the completed form to Principal Bank.

Don’t have an online account yet? Go to principal.com/login to set up an online account.
How do I add money to my IRA?

You may be able to add money to your account and set up recurring contributions online. Log in and select View for your Principal Bank account then select Make a contribution to get started.

How will I be notified of my RMD amount, and how do I take it?

Your RMD can be found on your annual statement. If you elected to receive electronic statements, new statements are posted to your online account each January. If you haven’t signed up for electronic delivery of statements, we’ll mail your statement to the address we have on file.

To sign up for electronic delivery, log in to your account. Go to My profile and under Preferences and select Delivery Preferences.

To take your RMD from a CD, Money Market, or Automatic IRA, complete and return the RMD form. You can also elect to have your RMD automatically distributed each year. See form for details.

Learn how your RMD is calculated and the deadlines to withdraw.
How do I see who my beneficiaries are and make changes?

To update your beneficiaries, log in to your account and click View on your IRA Account and select Services & Forms. Click on the Assign beneficiaries to my IRA link and select Add or Edit Beneficiaries.

Call 800-672-3343 weekdays from 7 a.m. – 7 p.m. for information on your current beneficiary election.

Remember, beneficiaries are account-specific designations. You’ll want to review your elections for all accounts and make sure they match your wishes. Not sure who to name as your beneficiary? Check out our 5 considerations for choosing retirement beneficiaries.
I want to talk to a real person. How do I contact someone about my IRA?

We’re here for you and ready to help. Call us at 800-672-3343 weekdays from 7 a.m. – 7 p.m.
What is your mailing address, fax and phone number?

Regular mail:
Principal Bank
PO Box 9351
Des Moines, IA 50306-9351

Overnight mail:
Principal Bank
711 High Street
Des Moines, IA 50392

Fax:
866-431-8410

Phone:
800-672-3343

You can also email forms to principalbankcustomerforms@principal.com.

There are a couple of things to know if you send forms via email. This isn’t a secure email address and there is a chance information could be compromised. Formats accepted are PDF, PNG, TIF or JPEG files. For best results, add the document as an attachment.

This email address is only for processing forms and we aren’t able to respond from this address. If you have additional questions or need help, give us a call.

Principal Funds questions
How can I take money out of my IRA?

To withdraw money from your account, log in or call us at 800-222-5852.

If you don’t currently have a bank account on file and want to do a direct deposit to your bank account, complete and return the Electronic Funds Transfer form (PDF). The form is processed within three business days after receiving it. After a 15-day waiting period to ensure the safety and security of your account, the distribution request can be processed over the phone.
How do I add money to my IRA?

You can add to your IRA in 3 ways:
- Online: Log in to link your bank account and then add to your account.
- By mail: Print a Deposit Slip (PDF) and mail to Principal Funds.
- By phone: You must have a bank account on file to add to your account by phone. If you don't have a bank account on file, go online to add one or complete and return the Electronic Funds Transfer form (PDF).

Checks can be made payable to:

  • Principal Life Insurance Company
  • Principal Funds
  • Principal Financial Group
  • Principal Securities

Regular mail:

Principal Funds
PO Box 219216
Kansas City, MO 64121-9216

Overnight mail:

Principal Funds
430 W 7th St, Ste 219216
Kansas City, MO 64105-1407
How will I be notified of my RMD amount, and how do I take it?

We’ll mail you a letter at the end of January with information about the RMD for your Principal Funds IRA. To make a one-time withdrawal of your RMD or to set up automatic withdrawals, call 800-222-5852 weekdays 7 a.m. – 7 p.m. CT.

Learn how your RMD is calculated and the deadlines to withdraw.
How do I see who my beneficiaries are and make changes?

Current beneficiary elections can be found within Account Settings in your online account. Log in to view or make changes to your current elections.

Remember, beneficiaries are account specific designations. You’ll want to review your elections for all accounts and make sure they match your wishes. Not sure who to name as your beneficiary? Check out our 5 considerations for choosing retirement beneficiaries.
I want to talk to a real person. How do I contact someone about my IRA?

We’re here for you and ready to help. Call us at 800-222-5852 weekdays from 7am – 7pm.
What is your mailing address, fax and phone number?

Regular mail:
Principal Funds
PO Box 219216
Kansas City, MO 64121-9216

Overnight mail:
Principal Funds
430 W 7th St, Ste 219216
Kansas City, MO 64105-1407

Fax: 816-218-2203

Phone: 800-222-5852

Footnotes

Your account must be open for 5 years and you must be over age 59 ½ (or meet certain other exceptions) to be eligible for qualified tax-free withdrawals. If you have a Money Market account with Principal Bank and are 59 ½ or older, you can order checks for your account and withdraw money at any time (up to 6 distributions each month). Call us at 800-672-3343 to order checks. If you’re in a CD, you may only make penalty-free withdrawals during your CD renewal period. If you’re in a Standard, Liquid, or legacy IRA CD, you may only make contributions to your account during your CD renewal period. If you're in a Select IRA CD, money market account, or automatic rollover IRA, you may make contributions at any time.

The subject matter in this communication is educational only and provided with the understanding that Principal® is not rendering legal, accounting, investment or tax advice. You should consult with appropriate counsel, financial professionals or other advisors on all matters pertaining to legal, tax, investment or accounting obligations and requirements.

Principal® SimpleInvest is a discretionary investment advisory program that offers diversified investment portfolios for a fee. Principal® SimpleInvest is sponsored and managed by Principal Advised Services, LLC, which consults with Principal Global Investors, LLC in the creation of the portfolios and the selection of the underlying portfolio investments. Principal Global Investors, LLC also provides trading and execution services. Principal Advised Services, LLC and Principal Global Investors, LLC are members of the Principal Financial Group®. Brokerage and custodial services provided by Apex Clearing Corporation, member FINRA, NYSE and SIPC. Apex Clearing Corporation is not affiliated with any member of the Principal Financial Group®. Principal® SimpleInvest portfolios are comprised primarily of Principal® products, including affiliated mutual funds and ETFs.

Please refer to the Form ADV Wrap Fee Brochure, Form ADV Advice Brochure and Form CRS for Principal Advised Services, LLC, the Miscellaneous Fee Schedule for Apex Clearing Corporation, and other applicable disclosures and agreements for important information about Principal® SimpleInvest and its services, fees and related conflicts of interest. All investments have inherent risks. Investing in Principal® SimpleInvest portfolios does not guarantee profit or protect against loss.

Insurance products and plan administrative services provided through Principal Life Insurance Company® Principal Funds, Inc. is distributed by Principal Funds Distributor, Inc. Securities offered through Principal Securities, Inc., member SIPC, and/or independent broker-dealers. Bank products and services are provided by Principal Bank®, member FDIC. Annuities, insurance, retirement plans, mutual funds and other securities are not insured by the FDIC, are not obligations or deposits for Principal Bank® nor guaranteed by Principal Bank, and involve risk, including possible loss of the principal invested. Referenced companies are members of the Principal Financial Group®, Des Moines, IA 50392.