Dwayne, enjoying retirement with Gridley.
When it comes to your finances, you should have all the information you need. We've outlined everything you should know about withdrawing from a Traditional or Roth IRA.
Your tax situation is unique, so be sure to consult your tax advisor as well.
Withdrawal Rules for Traditional IRAs
With Traditional IRAs, you defer taxes until you begin to withdraw money. The rules vary depending on your age.
Withdrawals prior to age 59½:
A 10% early withdrawal penalty may apply for withdrawals taken prior to this age if no exceptions apply.
Possible Exceptions:
- First-time home purchase
- Qualified education expenses
- Death or disability
- Unreimbursed medical expenses
- Health insurance, if you're unemployed
Withdrawals from age 59½ to 72:
Starting at age 59½, you can begin taking money our of your retirement accounts without penalty.
Withdrawal Rules for Roth IRAs
A qualified distribution from a Roth IRA is tax-free and penalty-free, provided the five-year aging requirement has been satisfied and one of the following conditions is met:
- You are over the age of 59½
- Death or disability
- Qualified first-time home purchase
Refer to IRS Publication 590 for details.
Thomas, Rugby Pro.
CHECKING
Free checking you can count on
We offer the Bay Area's best checking account – easy, free, and with no minimum balance or monthly fee.
Learn More
Liz, proud Bay Area Native.
PLATINUM VISA CREDIT CARD
Say goodbye to credit card fees
Get the card that cuts out fees while giving you rewards, overdraft protection, and lower rates.
Learn More
Let's Talk
As a local credit union, we measure our success one member at a time. We want to get to know you and help you achieve your goals. Come into a branch or call us today. Our people are happy to serve you.
Stop by a branch
Branch hours
Mon – Fri 9:30 AM – 5:30 PM
Saturday 10:00 AM – 2:00 PM
