IRA Wdrawal for Spouse’s Disability
Is there a way to avoid a penalty for early withdrawal based on spouse’s disability. I have a client who is 53 and has an IRA account rolled over from an employer. His wife is 51 and totally disabled and receives Medi-Cal. He receives expanded Medi-Cal based on their low income. In order for his pension not to count as a resource for his Medi-Cal, his must withdraw principal and interest. Does the penalty free exception apply to withdrawal for disabled spouses?
Andrea
Permalink Submitted by Alan - IRA critic on Fri, 2017-06-30 02:26
Unfortuneately, the disability exception is one of the exceptions that is limited to the IRA owner’s disability, not that of a spouse or family member. For medical and higher education expenses however, other family members are included in the exception. In your question where you refer to his pension, did you mean his IRA?