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No, you're doing it because you can withdraw contributions from a Roth IRA with no penalty. The Roth IRA merely exists as a vehicle to get money out of a 401k w
by stu2b50 5y ago
No, you're doing it because you can withdraw contributions from a Roth IRA with no penalty. The Roth IRA merely exists as a vehicle to get money out of a 401k with no penalty.
In this situation, there is no difference from if you were actually retirement age and withdrawing from your 401k. Same taxes, no penalty.
- SavantIdiot 5y agoThe light just went on. Got it. Thanks for the explaining.
- SavantIdiot 5y agoHey just wanted to say thanks for explaining that. I had a talk with my RIA and he never suggested it because my position for the past decade of working with him has consistently been that I would be working past IRA penalty age so it wasn't an issue. But we are considering it for other reasons now that I know it exists (e.g., early retirement).