The Motley Fool Discussion Boards
Investing/Strategies / Retirement Investing
|Subject: Re: 401K vs. IRA early withdrawl differences?||Date: 6/27/2000 4:29 PM|
|Author: TMFExRO||Number: 22927 of 74536|
<< 1. I understand that if you retire you can have access to 401K funds w/o penalty starting at age 55 (don't have to wait until age 59.5 to get penalty-free distributions due to retirement at 55).
True; if you have a cooperative plan administrator for your 401(k) plan who will support periodic payments to you.
BUT, if you retire PIOR to 55 - say at age 54 -, can you start collecting at 55 or do you have to wait until 59.5?
You must then wait or pay the penalty. >>
A clarification. At any age you can do a SEPP from a 401(k) without penalty.
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|