Are you under age 59 ½ and looking to access your IRA funds without being hit with the 10% early distribution penalty? Taking substantially equal periodic payments, or “72(t)” payments as they are sometimes called, from your IRA may be an option for you. With 72(t) payments, you can take early distributions from your IRA and avoid a penalty. Sound too good to be true? Well, these payments are subject to many strict rules. You should understand the restrictions before you jump in. Here are 10 rules you should know about 72(t) payments before you decide that they are the answer for you.
This edition of The Slott Report Mailbag looks at minimizing the upfront tax impact of a Roth IRA conversion, highlights the 401(k) and SEP IRA contribution limits and answers a question on the BIGGEST planning opportunity in the tax code - net unrealized appreciation.
Do you have a Roth IRA or are you thinking about starting one? You may have heard that a “five-year” rule is important for these accounts. Well, that’s just the beginning of the story. There are actually three different five-year rules for Roth IRAs. You need to understand each of them to maximize the benefits of your Roth IRA.
It's time for another edition of The Slott Report Mailbag, where we answer consumer questions on situations involving Roth conversions and the pro-rata rule, whether you need earned income to contribute to a Roth IRA and certain Roth IRA tax scenarios (reminder: Tax Day is Monday!)
We are down to the wire! The tax-filing deadline is rapidly approaching and time is running out to make your 2015 IRA contribution. In the final few days, before the clock runs out, here are 10 quick last minute tips to keep in mind about contributing to an IRA.
It's time for another edition of The Slott Report Mailbag, where we answer consumer questions on required minimum distribution (RMD) procedures with IRA annuities, The Roth conversion conversation and the Roth IRA beneficiary rules for spouses.
When it comes to investing your IRAs, you are in the driver’s seat. If an investment is no longer working for you and another opportunity better fits your retirement savings strategy, you may want to move your IRA funds. You are probably aware that some investments may limit your ability to do this or impose penalties, but often overlooked are the serious consequences that will occur if you run afoul of the IRA rules when trying to make your move. Before you decide to take a distribution from your IRA, you will want to understand three very important rules that apply to rollovers.
This week's Slott Report Mailbag looks at possible miscues and how to handle them. What constitutes an excess Roth IRA contribution? One individual below has to deal with the 6% penalty while another doesn't. We explain why.
When you take a distribution from your traditional IRA, you will owe taxes in most cases. Uncle Sam wants to be sure those taxes are paid. The good news, however, is that there is a lot of flexibility when it comes to withholding on your IRA distribution. Here is what you need to know.
This week's Slott Report Mailbag looks at the issues involved when an IRA beneficiary must take missed required minimum distributions (RMDs) for the original account owner, answers a question about the backdoor Roth IRA conversion and outlines the process of making SEP IRA contributions and converting those to a Roth IRA.
