A direct rollover is when your retirement money moves straight from one account to another — like from your Paychex 401(k) to an IRA — and you never touch the money. It’s clean, no taxes are taken out, and there’s no risk of penalties.
An indirect rollover is when the money gets sent to you first, and then you have 60 days to put it into a new retirement account. If you don’t roll over the full amount in time, you could get hit with taxes and penalties.
Icon's One Click-Rollover is a direct rollover. This means your employees move their funds from your 401(k) directly into their Icon account.