Tax Warrior Chronicles

Exceptions to Early Withdrawal Penalty for 401(k) & IRA Distributions

Posted on Thu, Nov 30, 2017

By: Sherri Sorbello, CPA

 

Most distributions from 401(k) plans and IRAs are subject to a 10% early withdrawal penalty if they are taken before you reach age 59 ½.  However, like most tax rules, there are certain exceptions allowing you to withdraw funds without a penalty.  This blog will address the most common exceptions to the 10% additional tax on early withdrawals. 

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