- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Coaching Changes
- 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
rolling over an IRA and a loan....
Posted on 5/21/10 at 1:33 pm
Posted on 5/21/10 at 1:33 pm
My wife is leaving her job and was asked what to do with her IRA. I want to roll it over into a T.Rowe Price Retirement Fund and when I went to their site to look into this, they said that if you have an existing loan (we have a car loan), they recommend paying off that loan before rolling over your IRA because if you roll over, you will be taxed for the loan amount at your current tax rate and if you are under 50.5, there may be an additional 10% penalty. Is this true? Can someone give me some advice as to what my options are? I don't really know the first thing about IRA's to tell you the truth. Thanks in advance.
2
Posted on 5/21/10 at 2:52 pm to The Hamburglar
quote:
I want to roll it over into a T.Rowe Price Retirement Fund and when I went to their site to look into this, they said that if you have an existing loan (we have a car loan), they recommend paying off that loan before rolling over your IRA because if you roll over, you will be taxed for the loan amount at your current tax rate and if you are under 50.5, there may be an additional 10% penalty.
That cant possibly be on their site.
Its under 59.5 for the 10% penalty
When they say loan they must be talking about an existing loan in the 401k account, not outside loans like a car.
As for the rollover, it is a non taxable event.
Posted on 5/21/10 at 3:39 pm to amsterdam
it did say 59.5. I mis-typed. OK, so I guess that answers my question that I can roll over her work IRA into a T. Rowe Price account.
ps- I had no idea you could take a loan on your IRA account. What in the world is that?
ps- I had no idea you could take a loan on your IRA account. What in the world is that?
Posted on 5/21/10 at 4:10 pm to The Hamburglar
quote:
ps- I had no idea you could take a loan on your IRA account. What in the world is that?
You cant take loans against an IRA. Some 401k plans allow loans against the balance.
Posted on 5/23/10 at 1:17 pm to The Hamburglar
(no message)
This post was edited on 11/27/11 at 10:24 pm
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News