Retirement Planning

For the purposes of accessing funds in IRA accounts, the IRS considers retirement age to be 59 1/2. Before this age, you can withdraw the interest your IRA earns, but you may have to pay...

A Roth IRA is an individual retirement account that grows tax-free. These accounts were first established in 1998 as a result of the 1997 Taxpayer Relief Act. Roth IRAs are subject to certain...

If you want to open a Roth IRA in time to report your contributions on your tax return, you have to open it by the IRS filing deadline for that tax year. Usually, that deadline is April 15 of the...

An annuity is designed to save money for the long-term goals of retirement. However, life being as it is, there may be times when you need to draw on your assets to make it through short-term...

Roth IRAs are popular retirement plans because, although you can't deduct contributions from your taxes, they offer a unique tax benefit. With a Roth IRA, not only are investment earnings not...

Tax time can be fraught with anxiety. Faced with work, family and other obligations, you may find it impossible to file your return by the April deadline. The IRS makes it easy to request a...

In special circumstances, the Internal Revenue Service (IRS) allows you to withdraw money from your Individual Retirement Account (IRA) without paying the 10 percent early withdrawal.

An individual retirement account (IRA) serves as a savings/investment plan established under IRS rules that confers tax benefits to help you save for retirement. With traditional, SIMPLE and SEP...

Required minimum distributions (RMDs) affect traditional individual retirement accounts (IRAs) but not Roth IRAs. You are allowed to start taking distributions from your IRA when you reach age...

Your IRA is part of your retirement plan and something that you should keep a very close eye on. You can administer your own IRA, or you can join an IRA that is run by an experienced fund...

According to the Social Security Administration, retirees receiving income from sources in addition to Social Security benefits may have to pay taxes on these benefits. A retiree can have taxes...

The IRS does not really want you to take money out of your 401k until you retire. They make this crystal clear by immediately taking a 10% cut (off the top) of any early withdrawals you are...

IRAs are retirement accounts that are created and funded entirely by individuals, rather than employers like 401k plans. You can contribute up to the annual limit, which for 2009 is $5,000 per...

Deciding on the strategy for withdrawals from a traditional IRA and the tools to implement that strategy depend on your age. If you're between 59 1/2 and 70 1/2 you have lots of flexibility, so...

The purpose of an IRA is to help you save for retirement. To this end you are normally supposed to leave all contributions and investment earnings in an IRA until you reach age 59 1/2. For Roth...

Choosing your strategy for accumulating retirement funds often depends on understanding the rules for the types of accounts available. And once you reach retirement, knowing the rules will help...

Under IRS rules, individuals can save for retirement using traditional or Roth IRAs. Each has certain tax advantages. In addition, there are two employer-provided kinds of IRAs frequently used by...

Traditional individual retirement accounts were created by the federal government to encourage individuals to save for retirement. Because contributions to traditional IRAs are tax-deferred, they...

A Simplified Employee Pension (SEP) is an IRA-based plan and follows the same rules for distributions as a Traditional IRA. But because all contributions to a SEP are pretax and any investment...

IRS regulations for beneficiaries of an IRA vary among the different type of IRA accounts. Generally, the year following the death of the IRA holder, the beneficiary must act to disburse any...

A required minimum distribution, or RMD, is the distribution from a qualified retirement account that the IRS requires individuals to take once they reach age 70 1/2. If you have a retirement...

Everything I am about to tell you might be wrong, but I doubt you'll find a better effort on the internet or anyplace else trying to explain the ins and outs of 401k withdrawals for medical...

Saving and investing for retirement is a major priority for most people. Fortunately the government helps out by allowing individuals with even modest incomes to open up tax-sheltered Individual...

Saving for retirement with a Roth IRA is a wise choice for investors both young and old. These accounts provide tax free withdrawals at age 59 1/2 and earn compounded interest. However, there...

When you open a self-directed IRA, you retain the authority to choose the investments, as opposed to IRAs that are managed by a broker or other financial professional. The rules for a...

Required minimum distributions (RMDs) are the minimum withdrawal amounts you must take out each year from your retirement plan (i.e., 401(k) or IRA) as mandated by the IRS once you turn the age of...

IRAs are one of the most frequently discussed methods for retirement savings. They are defined by the IRS as an "individual retirement arrangement," but more often called individual retirement...

Individual retirement accounts, or IRAs, are tax-deferred retirement savings accounts. Dollars in these accounts are deposited on a pretax basis, meaning contributions are deductible against...

Qualified retirement accounts such as 401(k)s and IRAs provide tax deferred retirement savings. Because of the tax advantage, the IRS wants to limit the use of these accounts for retirement...

The IRS offers several individual retirement arrangements to help you save for the future, each governed by its own set of regulations. The rules for a Roth IRA are different because they provide...

Roth IRAs are distinctive among the retirement plans recognized by the IRS in that there is no tax deduction for contributions to the retirement account. Instead, earnings are not taxed while in...

A Roth IRA is one type of Individual Retirement Account authorized by the IRS. Roth IRAs are distinctly different from other IRAs, 401(k)s and similar plans. With most retirement plans, you...

Roth IRAs are one of several types of individual retirement arrangements recognized by the IRS as vehicles to aid individuals in preparing for retirement. A Roth IRA is distinctive in that there...

A Roth IRA is one of several types of individual retirement accounts, but it is structured somewhat differently than other such plans. You don't get a tax deduction for contributions, but any...

The 403(b) retirement plan is a tax-sheltered annuity. Its qualified plans are covered in the Employee Retirement Income Security Act of 1974. This act also protects the 403(b) assets from...

Changing jobs with a 401(k) offers two different options; one can transfer to a new employer's 401(k) plan or use an IRS rollover. Choose how to transfer 401(k) funds when switching employers with...

To purchase a home using a 401(k), be cognizant of the penalties and taxes that may apply by the IRS, and make sure that using 401(k) money is less expensive than other alternatives. Consider...

Withdrawing money from a 401(k) might result in facing IRS penalties and taxes unless the money is used to stave off hardships, pursue advanced education or pay off uninsured medical bills. Avoid...

The IRS allows people of a certain age to contribute more than the maximum to a ROTH IRA. Discover why this is the case, and how it can benefit people who began saving for retirement late, with...

Individual retirement accounts (IRAs) give taxpayers a means to accumulate tax-deferred funds that can provide income during retirement. Traditional and Roth IRAs have similar deposit rules, but...

To avoid paying unnecessary taxes and penalties, understand Simple IRA distribution rules. Simple IRAs are individual retirement accounts set up for employees of businesses with up to 100...

If you make an early withdrawal from your 401K, you will face penalties and taxes from the IRS. There are many things to consider before withdrawing money from your 401K. After all, this money is...

Individual Retirement Accounts (IRAs) give workers the freedom to gradually save money for retirement while avoiding tax payments on the funds accrued. That benefit doesn't last indefinitely,...

An IRA, or individual retirement account, is one method of retirement planning that allows an individual to save money. The IRS established IRAs, and there are many types with different rules....

Non-Roth IRAs have Required Minimum Distributions (RMDs) that must commence the calendar year in which you turn age 70½. Furthermore, if you have multiple tax-deferred accounts, the IRS...

You can establish a SEP IRA, or Simplified Employee Pension account, for both your employees and yourself if you are either self-employed or you own a small business. It can be done with minimum...

An annual IRA contribution is set by the IRS, and it can be found in the tax codes. Discover how IRA contributions can increase with age, and talk to a tax preparer, with help from a licensed...

The IRS grants tax deferred status to several types of retirement funds, including 401(k) plans and traditional and Roth IRAs. SEP and SIMPLE IRAs follow traditional IRA rules. Otherwise, there...

One of the best ways to save money for retirements and to save money on taxes is with an IRA or individual retirement account. The Internal Revenue Service (IRS) created these retirement plans and...

A rollover contribution refers to an individual contributing money to a second retirement plan that was taken out of an existing qualified retirement plan or IRA. A rollover is typically a...