How to Borrow From Your IRA for 60 Days

The Internal Revenue Service does not permit people to take official loans from their individual retirement accounts in the same way that it permits people to borrow from their 401(k) or 403(b) plans. However, the IRS does allow you up to 60 days to complete a rollover, which permits you to put the money back into the same account—essentially allowing for a 60-day, interest-free loan. However, the IRS is very strict with the 60-day limit and if you fail to return the money within that time period, the IRS will consider the amount to be permanently removed.

Request a distribution from your IRA by completing the financial institution's IRA withdrawal request form. Many companies allow you to download this form from their website.

Use the money for up to 60 days however you wish. You do not need to keep records of your use.

Redeposit the money within 60 days to avoid the money being counted as a permanent withdrawal.

Report the amount as a non-taxable withdrawal on your income tax return and write "rollover" next to the amount to indicate to the IRS that you performed a rollover. On form 1040, you would report the total amount of the rollover on line 15a, "0" on 15b and write "rollover" next to it. On form 1040A, you would report the total amount of the rollover on line 11a, "0" on 11b and write "rollover" next to it.


  • You are limited to one rollover from an account every 12 months.