IRA and Retirement Plan Distributions
Is it time to cash in on your retirement savings? Be sure you understand the rules and possible tax consequences of taking IRA and retirement plan distributions.
Whether your retirement is close or still a ways off, you may be ready-or required-to put your savings to use. With a retirement plan, you must satisfy certain requirements before taking a distribution, but with an IRA, you can withdraw your IRA assets anytime (subject to possible tax and penalty). Ideally, you will be able to start drawing from your retirement savings around the time you retire, but there may be reasons for accessing the funds sooner. And once you reach a certain age, you may be required to start withdrawing money from these plans. Required minimum distributions (RMDs) are a must for the following types of accounts. Traditional IRAs (including those with SEP plan contributions) SIMPLE IRAs Qualified retirement plans Consider visiting with your competent tax or financial advisor before taking IRA or retirement plan distributions.
657-EB (11/2024) ©2024 Ascensus, LLC