Feeling a bit overwhelmed by the idea of getting your money out of Edward Jones? You're not alone! Many people find the process of moving their investments or withdrawing funds from a financial institution to be a daunting task. But don't worry, this comprehensive guide is here to break it down for you, step by step. Whether you're looking to simply take out some cash, transfer your assets to another brokerage, or fully close your account, we'll cover all the essential information you need to navigate this process smoothly. Let's get started!
The Essential Guide: Getting Your Money Out of Edward Jones
Getting your money out of Edward Jones can be done in several ways, each with its own considerations. It's crucial to understand your options, potential fees, and tax implications before making any moves.
Step 1: Understand Your "Why" and "What"
Before you pick up the phone or click any buttons, take a moment to clarify why you want to get your money out and what kind of money you're dealing with. This initial assessment will largely dictate the best approach.
Sub-heading: Why are you withdrawing?
- Need Cash for Immediate Expenses? If you need liquid funds for an emergency, a down payment, or simply day-to-day spending, a direct withdrawal might be your goal.
- Transferring to Another Brokerage? Perhaps you've found a new firm with lower fees, different investment options, or a financial advisor you prefer. In this case, you'll be looking at an "ACATS" (Automated Customer Account Transfer Service) transfer, or an "in-kind" transfer of your investments.
- Consolidating Accounts? Maybe you want to simplify your financial life by bringing all your investments under one roof.
- Closing Your Account Entirely? If you no longer wish to maintain an account with Edward Jones, you'll need to fully liquidate and transfer/withdraw all assets.
- Retirement Distributions? If you're nearing or in retirement, understanding the rules for IRA or 401(k) withdrawals is paramount to avoid penalties.
Sub-heading: What type of account do you have?
The type of account you hold at Edward Jones (e.g., taxable brokerage, IRA, Roth IRA, 401(k), 529 plan) will significantly impact the withdrawal process and any tax consequences.
- Taxable Brokerage Account: Generally, you have more flexibility with withdrawals, but capital gains taxes on sold investments will apply.
- IRA (Traditional or Roth): These accounts have specific IRS rules regarding withdrawals, especially before age 59½, to avoid early withdrawal penalties. Required Minimum Distributions (RMDs) also apply to Traditional IRAs after a certain age.
- 401(k) (from a former employer): Similar to IRAs, 401(k)s have specific withdrawal rules and potential penalties for early access. You might have options like rolling it over to an IRA.
- Other Accounts (e.g., 529, Annuities): These accounts have their own unique withdrawal rules and tax implications.
Step 2: Contact Your Edward Jones Financial Advisor
This is often the most direct and efficient first step. Your Edward Jones financial advisor is your primary point of contact and can guide you through the specific procedures for your account(s).
Sub-heading: Scheduling a Meeting or Call
- Reach out directly: Call or email your financial advisor to schedule a conversation. Be clear about your intentions – whether it's a small withdrawal or a full account transfer.
- Prepare your questions: Before your meeting, jot down any questions you have about fees, timelines, necessary documents, and potential tax implications.
Sub-heading: What to Discuss with Your Advisor
- Your withdrawal goals: Clearly articulate what you want to achieve (e.g., "I need $10,000 for a home repair," or "I want to transfer my IRA to Fidelity").
- Account review: Ask your advisor to review your current holdings. Are they liquid? Are there any surrender charges or fees associated with selling specific investments?
- Understanding fees: Inquire about any Edward Jones-specific fees for withdrawals, transfers, or account closures. These can include:
- Account termination fees
- Wire transfer fees
- Account transfer fees (ACATS out fee)
- Expedited processing fees
- Tax implications: Discuss the potential tax consequences of your withdrawal or transfer. Your advisor can provide general guidance, but always consult with a tax professional for personalized advice.
- Required documents: Ask what forms or documentation you'll need to complete.
Step 3: Choose Your Withdrawal Method
Edward Jones generally offers several ways to get your money, depending on the type of account and your needs.
Sub-heading: Direct Cash Withdrawal (Partial or Full Liquidation)
- Electronic Funds Transfer (ACH): This is often the most common and convenient method. You can typically set up an ACH transfer from your Edward Jones account to a linked bank account. This usually takes 1-3 business days.
- How to initiate: You can often do this through your Edward Jones Online Access, or by contacting your financial advisor. You'll need your bank's routing and account numbers.
- Wire Transfer: For larger or urgent transfers, a wire transfer can be quicker (often same-day), but usually incurs a fee.
- How to initiate: Generally requires direct instruction to your financial advisor, often with a signed authorization form.
- Check: You can request a physical check be mailed to you. This is the slowest option.
- How to initiate: Request through your advisor.
Sub-heading: Transferring Investments (ACATS or In-Kind Transfer)
If you're moving your entire account or specific investments to another brokerage, this is the process you'll follow.
- Initiate at the Receiving Brokerage: The most common and often easiest way to transfer assets is to initiate the transfer from the brokerage firm you're moving to. They will typically have a "transfer an account" or "rollover" section on their website.
- Why this is easier: The new firm handles most of the paperwork and communication with Edward Jones.
- Provide Necessary Information: You'll need your Edward Jones account number, the type of account (e.g., Traditional IRA), and a recent statement.
- Full vs. Partial Transfer:
- Full ACATS Transfer: This moves all eligible assets from your Edward Jones account to the new firm.
- Partial ACATS Transfer: You specify which assets you want to transfer.
- In-Kind Transfer: This means your actual investments (stocks, mutual funds, ETFs) are moved, not liquidated into cash. This is generally preferred to avoid selling fees and immediate tax consequences on capital gains.
- Review for Non-Transferable Assets: Be aware that some investments, like proprietary Edward Jones products or certain mutual funds, may not be transferable in-kind to another brokerage. Your advisor or the new firm can help identify these. You may have to sell these and transfer the cash.
Step 4: Complete Required Paperwork
Whether you're withdrawing cash or transferring assets, paperwork will likely be involved.
Sub-heading: Forms and Authorizations
- Withdrawal Request Form: For cash withdrawals, you might need to fill out a specific form authorizing the transfer to your bank account.
- Letter of Authorization (LOA): For larger transfers or specific instructions, a signed LOA might be required.
- Transfer Initiation Form (from new brokerage): If you're transferring to another firm, their transfer initiation form will be critical.
Sub-heading: Signatures and Verification
- Ensure all required signatures are present and accurate. Edward Jones may require a "medallion signature guarantee" for certain high-value transactions or account closures, which is a higher level of signature verification than a standard notary. Your bank can usually provide this.
- Identity Verification: Be prepared to provide identification if requested, especially for new transfers or significant withdrawals.
Step 5: Monitor the Process and Follow Up
Once you've submitted your request, it's not a "set it and forget it" situation.
Sub-heading: Tracking Your Request
- Note Down Reference Numbers: If provided, keep track of any reference or confirmation numbers for your withdrawal or transfer request.
- Check Your Edward Jones Account: Monitor your Edward Jones Online Access to see the status of your funds or asset transfers.
- Communicate with Both Firms (for transfers): If transferring to another brokerage, keep in touch with both Edward Jones and your new firm to ensure the process is moving along.
Sub-heading: Addressing Potential Delays
- Transfers can sometimes take longer than expected. Electronic fund transfers typically take 1-3 business days. ACATS transfers can take anywhere from 3-10 business days, or even longer (2-4 weeks) if there are issues with the transfer, such as non-transferable assets or discrepancies in account information.
- Common reasons for delays: Incorrect account numbers, mismatched names, non-transferable assets, or missing signatures.
- Be proactive: If you notice a delay, contact your Edward Jones advisor and/or the receiving brokerage to inquire about the status.
Step 6: Account Closure (If Applicable)
If your goal was to completely exit Edward Jones, the final step is to ensure your account is formally closed.
Sub-heading: Confirming Zero Balance
- Once all funds have been withdrawn or transferred, ensure your Edward Jones account balance is zero.
- Check for residual cash: Sometimes, small amounts of cash or fractional shares might remain after a transfer. Your advisor can help you sweep these out.
Sub-heading: Requesting Account Closure Confirmation
- Formally request confirmation of account closure. This can prevent any lingering fees or unexpected issues in the future.
- Retain Records: Keep copies of all statements, transaction confirmations, and correspondence related to your withdrawal or transfer for your records, especially for tax purposes.
Important Considerations and Potential Pitfalls:
- Fees: Be aware of potential fees for withdrawals, wire transfers, and especially full account transfers (ACATS out fees). These can vary.
- Tax Implications: Withdrawals from retirement accounts before age 59½ can incur a 10% IRS early withdrawal penalty, in addition to regular income tax. Always understand the tax consequences for your specific account type.
- Market Fluctuations: If you are selling investments to get cash, you are subject to market fluctuations until the sale settles. If you are transferring in-kind, your investments remain subject to market fluctuations during the transfer period.
- Required Minimum Distributions (RMDs): If you are taking money from a Traditional IRA or 401(k) and are over age 73 (or 70.5 if you reached that age before 2020), ensure you've taken your RMD for the year before transferring or closing the account, or you might face penalties.
- Emotional Attachment/Advisor Relationship: It can be uncomfortable to tell your advisor you're leaving. Remember that this is your money and your financial future. A good advisor will understand your decision.
10 Related FAQ Questions (How to...)
Here are some quick answers to common questions about getting money out of Edward Jones:
How to withdraw money from Edward Jones online?
You can often initiate electronic funds transfers (ACH) to a linked bank account through your Edward Jones Online Access. Check the "Transfer Funds" or "Move Money" sections. For other types of withdrawals, you may need to contact your financial advisor.
How to transfer an Edward Jones IRA to another brokerage?
Initiate the transfer process with the new brokerage. They will provide the necessary forms (like an ACATS transfer form) and handle the communication with Edward Jones to move your IRA assets "in-kind" (without selling them).
How to avoid fees when transferring out of Edward Jones?
While some fees (like ACATS transfer fees) are standard across the industry, some receiving brokerages may offer to reimburse these fees if you transfer a significant amount. Always inquire about Edward Jones' specific fees and if your new firm offers reimbursements.
How to get a check from Edward Jones?
Contact your Edward Jones financial advisor and request a check be mailed to your address on file. Be aware that this is generally the slowest method.
How to withdraw from an Edward Jones 401(k) after leaving a job?
You typically have options: leave it with your former employer (if permitted), roll it over to a new employer's 401(k), roll it over to an IRA, or cash it out. Rolling it over to an IRA is a common choice to maintain tax-deferred growth without penalties. Consult your advisor and review your plan's options carefully.
How to close an Edward Jones account completely?
First, ensure all assets are liquidated or transferred out. Once the balance is zero, contact your financial advisor to formally request the account closure and obtain a confirmation of closure.
How to understand the tax implications of Edward Jones withdrawals?
The tax implications depend entirely on the type of account (taxable brokerage, IRA, Roth IRA, etc.) and your age. For example, early withdrawals from IRAs or 401(k)s before 59½ typically incur a 10% penalty plus ordinary income tax. Always consult a tax professional for personalized advice.
How to speed up the Edward Jones withdrawal process?
Electronic transfers (ACH) are faster than checks. Wire transfers are the fastest but usually come with a fee. For asset transfers, ensuring all paperwork is accurate and complete from the start can prevent delays. Communicating proactively with both firms (for transfers) also helps.
How to find my Edward Jones account number?
Your Edward Jones account number can be found on your account statements, trade confirmations, or by logging into your Edward Jones Online Access. Your financial advisor can also provide it.
How to contact Edward Jones customer service for withdrawal help?
You can reach Edward Jones Client Relations at (800) 441-2357 during business hours (7 a.m. – 5:30 p.m. CT, Monday - Friday). However, for most account-specific withdrawal or transfer requests, contacting your dedicated financial advisor directly is usually the best approach.
