With the end of the year quickly approaching, please make note of the following important deadlines for business processing.
December 15th, 2024:
- Roth IRA Conversions – It is strongly recommended forms be received, in good order, by December 15th. After this date, conversions will be made on a best efforts basis. Under no circumstances can a request be backdated.
- Required Minimum Distributions – It is strongly recommended requests be received, in good order, no later than December 15th to ensure proper processing. This will allow time for corrections to incorrect banking and/or address information.
- Alternative Investments 2024 Annual Custody & Valuation Fees – $35 per registered position, $125 per unregistered position, ($500 maximum Fee) are applied to accounts with eligible positions. If insufficient funds exist in the core fund, an unsecured fee posting will be placed in the account for the outstanding balance of the fee. Fee postings which are not resolved by February 1, 2025 will be reversed and charged to the Registered Representative’s commissions.
December 16th, 2024:
- U4 Updates – Any U4 updates need to be requested to the ESI Licensing team by December 16th to ensure processing time before CRD shuts down for year-end recon.
December 24th, 2024:
- Systems Deadline for New 2024 Periodic Distributions Plans – must be established and approved in ICP by December 24, 2024 in time to pay in 2024. Beginning December 26, 2024, Fidelity Clearing & Custody will establish periodic distribution plans for 2025 only.
December 30th and 31st, 2024
- IRA Distributions December 30th, 2024 is the last day an EFT can be sent out of an IRA account as a 2024 distribution, if next day settlement is required. December 31st, 2024 is the last day to submit a one-time EFT distribution with same-day settlement. EFT distributions are eligible for same-day settlement if created and approved prior to 2:00pm EST.
Distributions processed on December 31st as a check, will be reported in the 2025 tax year.
December 31st, 2024
- Fidelity Clearing & Custody Fee Processing and Balance Reminders – In order for a client to avoid the $35 non-qualified account custody fee, they must have one commissionable transaction settle in 2024 or have a $10,000 balance in the core money market fund on December 31, 2024.
Last trade date for 2024 regular way settlement is December 30, 2024.
Dec. 31st, 2024 & Jan. 2nd, 2025
- Fidelity Clearing & Custody – “Inactivity” Fee Assessed & Charged – Client accounts are assessed for eligibility/waiver of Custody Fee on December 31, 2024 and, if eligible, are charged the fee on January 2nd, 2025.
Jan. 5th-31st, 2023
- Securities Liquidations to cover Unpaid Fee Postings – ESI home office will begin the process of liquidating securities to cover unpaid fee postings related to the NFS IRA Custody Fee and non-qualified “Inactivity Fee”. Accounts with eligible securities will have trades placed to cover “debit” balances related to fee postings, as well as applicable transaction charges. Customer confirmations will be marked “To Cover Debit”. Representative’s will be charged the $25.00 service fee if ESI home office is required to place liquidating trades.
Holiday Phone Hours for ESI Call Center
12/24 – NYSE open until 4 – ESI phones close at 4:00 EST
12/25 – National Life and ESI closed for Christmas Holiday
1/1 – National Life and ESI closed for New Year’s Day Observed
Please contact ESI Operations at (800) 344-7437 with questions.
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