This subject reminds of a famous line from the movie Jurassic Park.
“Your scientists were so preoccupied with whether or not they could, they didn’t stop to think if they should.”
So even though you could access your IRA account in a tax-advantaged way, you should be careful about raiding your retirement funds except for the direst of emergencies.
This can apply to tax planning as well. Normally, IRA distributions (before age 591/2) are subject to a 10% Excise tax as well as increasing taxable income. You’re allowed one rollover every 12 months that must be completed within 60 days.
As with all Covid-related tax matters, the game has changed. Here are the new rules.
- Estate Planning under the Biden Administration:
What's changing and how to react- April 7, 2021
- Thanksgiving Items - November 25, 2020
- Do you receive Social Security, Civil Service, or VA Benefits:
There's some good news and some bad news- November 23, 2020