Roth penalty
I asked this question before – didn’t get a clear answer.
If I am over 59 1/2, am I free of the 5 year holding period requirement that would otherwise trigger the 10% penalty tax?
I asked this question before – didn’t get a clear answer.
If I am over 59 1/2, am I free of the 5 year holding period requirement that would otherwise trigger the 10% penalty tax?
Permalink Submitted by Edward Czapor on Mon, 2009-02-09 22:12
Yes, there is no 10% penalty once you are 591/2. The 5 tear holding period for penalty applies to converted amounts and no longer applies once you reach age 591/2. You may still be subject to tax on earnings withdrawn if you have not established a Roth for at least 5 years, but there would be no penalty.