Penalty free distributions
I have received conflicting answers regarding whether new Secure 2.0 penalty free distribution options are applicable to IRAs
Are these new options available to IRA owners?
Terminal Illness
Domestic Violence
Emergency Expenses
Federal Disaster Disaster (distribution only)
Permalink Submitted by Alan - IRA critic on Mon, 2023-11-27 21:04
It appears that the penalty exception will apply to IRAs as well, except for the emergency distributions. For the other types of distributions, the definition of eligible retirement plans includes IRAs.