- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Roth Conversion/Rollover 5 Year Rule Question
Posted on 11/12/14 at 11:11 am
Posted on 11/12/14 at 11:11 am
My understanding is that contributions to a ROTH IRA can be withdrawn any time without penalty even before one turns 59.5. My understanding is also that any conversion into a ROTH IRA from a traditional IRA has a 5 year holding period before it can be withdrawn penalty free (before age 59.5).
What is the ruling on early withdrawals of funds rolled over to a ROTH IRA from a ROTH 401k?
What is the ruling on early withdrawals of funds rolled over to a ROTH IRA from a ROTH 401k?
This post was edited on 11/12/14 at 11:12 am
3
Posted on 11/12/14 at 11:17 am to Anfield Road
quote:
My understanding is that contributions to a ROTH IRA can be withdrawn any time without penalty even before one turns 59.5.
True
quote:
My understanding is also that any conversion into a ROTH IRA from a traditional IRA has a 5 year holding period before it can be withdrawn penalty free (before age 59.5).
I hope others chime in if I am wrong. However, I don't believe this is the case. When you transfer funds over, you must pay income taxes on it. However, if you wait until you don't have any income taxes from your regular job, you obviously won't pay any taxes if you stagger the transfer.
Posted on 11/12/14 at 11:21 am to Anfield Road
quote:
What is the ruling on early withdrawals of funds rolled over to a ROTH IRA from a ROTH 401k?
I believe as long as you do a 1035 there shouldn't be an issue.
Posted on 11/12/14 at 11:24 am to Anfield Road
You left out whether the contributions to the TIRA were tax deductible or after tax, which has a bearing. You would be better off Googling to a credible source instead of having something potentially bite you in the arse.
Posted on 11/12/14 at 11:27 am to I Love Bama
quote:
I hope others chime in if I am wrong. However, I don't believe this is the case. When you transfer funds over, you must pay income taxes on it. However, if you wait until you don't have any income taxes from your regular job, you obviously won't pay any taxes if you stagger the transfer.
I'm not converting from a traditional IRA/401k. This is a rollover from a ROTH 401k to a ROTH IRA (post-tax to post-tax), so there should not be a tax paid on the rollover as tax has already been paid on it.
This post was edited on 11/12/14 at 11:30 am
Posted on 11/12/14 at 11:32 am to Anfield Road
Edit- sorry.
No income tax, no 10% penalty.
No income tax, no 10% penalty.
This post was edited on 11/12/14 at 11:36 am
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News