Pre 59 1/2 Withdrawal
I know that there are several conditions that must be met to avoid the 10% penalty for an early withdrawal, but is it true that if an account owner is under the age of 59 1/2 that he can withdraw his cost basis, not the earnings, without penalty? Thanks
Permalink Submitted by Jose Morales on Thu, 2008-08-21 18:49
Only from a Roth IRA can you withdraw your contributions at any time and avoid taxation and the 10% non-qualified distribution penalty.
Permalink Submitted by Alan Spross on Thu, 2008-08-21 19:52
Are you asking about a traditional IRA, Roth IRA, or a qualified plan?
Permalink Submitted by paul saltaformaggio on Thu, 2008-08-21 20:33
In a Roth IRA … Does anyone know what the IRS ruling/Publcation is and where I can find it? Thanks
Permalink Submitted by paul saltaformaggio on Thu, 2008-08-21 20:34
[quote=”[email protected]“]Are you asking about a traditional IRA, Roth IRA, or a qualified plan?[/quote]
In a Roth IRA … Does anyone know what the IRS ruling/Publcation is and where I can find it? Thanks
Permalink Submitted by Jose Morales on Thu, 2008-08-21 20:41
Publication 590 is one resource.
[url]http://www.irs.gov/publications/p590/ch02.html#d0e10519%5B/url%5D
[quote]You do not include in your gross income qualified distributions or distributions that are a return of your regular contributions from your Roth IRA(s). [/quote]