Annual IRA statement packages are provided to Preferred Trust Company clients to help them manage their Self-Directed IRA(s). Below are answers to frequently asked questions about these statements:
Is the annual statement a tax form?
No. Annual statements differ from annual tax forms. Preferred Trust Clients will receive Form 5498 and/or Form 1099-R (if a distribution/withdrawal was taken from the IRA account). As you can see in the image below, the annual statement is labeled as “IRA Statement Package” and your tax forms will be labeled as “Tax Form ####”. You may need to Change Filters to the previous year to pull up the statement and tax forms.
For further clarification, please review the Sample Tax Form 5498 and the Sample IRA Statement Package so you can see the difference between the structure of a tax form and the annual account statement that is provided by Preferred Trust Company.
Form 5498 and 1099-R are used to complete your taxes. Preferred Trust Company submits Form 1099-R (if applicable) to the IRS on behalf of our clients by the IRS imposed deadline of March 31st for financial institutions. The deadline for submitting Required Minimum Distributions (RMDs) for retirement plan owners is March 31st. For example, retirement plan owners can take their RMD for tax year 2022 before March 31st, 2023.
If you have further questions about you tax form(s), please review our Tax Time FAQ blog.
Do annual account statements provide information for the current or previous year?
Annual account statements provide information for the previous tax year. For example, when you receive your statement in March 2023, the information reported is for 2022.
When are annual account statements generated for clients?
Annual account statements are generated and uploaded to the online client portal on March 31st each year.
IRS regulations enable retirement plan owners to: (1) Make contributions for the preceding tax year by the tax filing deadline on April 18th; and (2) take distributions or make tax related corrections before March 31st for the preceding tax year.
Many clients take advantage of these IRS extensions. The release date of March 31st allows Preferred Trust Company time to capture those transactions to ensure the utmost accuracy of the transaction history within the IRA account statement package.
Where can I access my annual account statement?
Clients can access their annual account statement through their online account portal. Once logged in, from the navigation panel on the left-hand side, select Statements and the statement will appear as the “IRA Statement Package” (see below).
Select the PDF icon under “Download”, and your statement will automatically be downloaded to your computer. If you need help accessing your online portal, please watch this video tutorial. If you need further assistance, please email email@example.com.
How long is my annual account statement available online?
The statement is available until January 31st of the following year.
Why can’t I see previous year’s annual account statements?
The 3rd party service company that Preferred Trust Company utilizes for the online portal charges for additional storage. To keep the cost of the Annual IRA Administrative Fee low for clients, Preferred Trust Company does not store previous year’s statements in the online portal.
Preferred Trust Company is proud to be one of the few IRA custodians to maintain the same Annual IRA Administrative Fee schedule for clients over the past decade.
Can I request a different year’s annual account statement?
Yes. Clients can email firstname.lastname@example.org to request previous year’s statements. Statements can be emailed or sent via snail mail per the clients’ preference.
Why do we only receive an annual statement and not monthly statements?
In the online account portal, clients select Accounts in the navigation panel to review and download their account transaction history. This is equivalent to a monthly statement.
Can I request a statement for a specific month or period of time?
Yes. Monthly statements can be scheduled for your account(s) by sending a request to email@example.com.
Why doesn’t Preferred Trust Company automatically snail mail me the statement?
In an effort to keep the administrative costs low for clients and, more importantly, to maintain the security of our client’s personal information, we do not automatically snail mail annual statements.
Can I request the statement to be delivered via snail mail?
Yes. Clients can email firstname.lastname@example.org to request that their annual statement be mailed, or email is another option.
Can I request for the statement to be emailed?
Yes. Annual account statements include private personal information such as your account #. To protect your information, the email is sent encrypted. Please keep in mind that encrypted emails require the receiver to set-up a user and password to open the content of the encrypted email.