|
The Motley Fool Discussion Boards
|
Previous Page | |
|
Investing/Strategies / Retirement Investing |
||
|
URL:
http://boards.fool.com/if-i-withdraw-my-annunity-before-59-12-can-this-11796011.aspx
|
||
| Subject: Re: Anunity | Date: 1/12/2000 2:19 PM | |
| Author: TheBadger | Number: 17713 of 72253 | |
|
If i withdraw my annunity before 59 1/2 can this be rolled into an Ira without paying the 10% penailty or income tax? On the presumption that you are referring to regular after-tax annuity; it is not rollable into an IRA; therefore you will, at a minimum, owe regular income tax on the amount distributed less your basis in the contract. However, you can avoid the 10% early withdrawal surtax through implimentation of IRC §72(q)(2)(D) SEPP's. §72(q) does not get discussed much; however, the rules for §72(q) are essentially the same as those for §72(t), its companion code section for 401(k)'s & IRA's. I suggest that you stroll over to the Retire Early Homepage & start reading the posts on §72(t) get some background information. TheBadger |
||
| Copyright 1996-2013 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us | ||