Message Font: Serif | Sans-Serif
No. of Recommendations: 0
[[a while ago i asked about retirement plans for self-employed people. i was
referred to IRS pubs 535, 560, and 590. having read through 560, it looks like
the keogh works similar to IRAs in that you can't take out anything before the
age of 59 1/2 without being penalized (though there are a few exceptions).]]

Right...virtually ALL of the retirement plans work that way.

[[ is this


[[ what do people do if they want to retire early?]]

They generally have other funds that they can get their hands on to fund their retirement until they can receive their pension distributions without penalty. Or, in the alternative, they begin taking their retirement funds out using periodic payments which will also avoid the penalty.

But I don't know of ANYBODY who has retired early that has ALL of their retirement funds locked up in pension/profit sharing or other retirement plans. Generally, if you retire at, say...age have substantial OTHER funds to get you by on a day to day basis.

[[ are there any retirement
plans that don't specify the age at which you can start taking distributions? ]]

None that I'm familar with...

course, i'm kind of assuming that i'm going to retire early, but i don't want to get
to the age of 50 and find that i have enough in my retirement plan to retire on but
that it's unaccessible.]]

Good point...but again, this has not been my experience.

[[ know of a better place where i should ask my question? ]]

You can always try the "Fools and Their Money" folder, or even the "Retirement Investing" folder.

TMF Taxes
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.