Is my non-qualified Roth IRA distribution subject to taxes or early distribution penalties?

June 30, 2024 No Comments

A: The ordering rules must be applied to determine whether the distribution is subject to income taxes and/or the early distribution penalty. Under these ordering rules, distributions are taken from funding sources in the following order: Regular contributions Roth conversions Earnings Note: Roth conversion amounts

Is my non-qualified Roth IRA distribution subject to taxes or early distribution penalties?

July 7, 2024 No Comments

Is the cost-of-living adjustment (COLA) mandatory?

June 30, 2024 No Comments

A: A cost-of-living adjustment, or COLA, is a purchasing power protection mechanism provided to all monthly Social Security and Supplemental Security Income benefits. While a cost-of-living raise for Social Security recipients is technically “mandatory,” it does not mean there will be an actual increase every

Is the cost-of-living adjustment (COLA) mandatory?

July 7, 2024 No Comments

Is there a minimum I have to contribute to my 401(k) plan?

June 30, 2024 No Comments

A: No, there is no minimum you have to contribute to your traditional 401(k) plan, but to maximize your retirement account potential, there are suggested amounts that should be contributed. There is also a maximum that you are allowed to contribute to your retirement account.

Is there a minimum I have to contribute to my 401(k) plan?

July 7, 2024 No Comments

My company is the trustee of our 401k plan (which has 112 participants). What are the pros and cons of having the company instead of the plan provider/vendor as the trustee?

June 30, 2024 No Comments

A: The answer may vary depending on the plan provider and the provisions of the plan document. For questions relating to a specific issue, the employer should consult with an ERISA attorney, who will be able to make an appropriate recommendation. An ERISA attorney may

My company is the trustee of our 401k plan (which has 112 participants). What are the pros and cons of having the company instead of the plan provider/vendor as the trustee?

July 7, 2024 No Comments

My daughter would like to use some of her Roth IRA to pay for some current tuition fees and loans. Can she do this without a penalty?

June 30, 2024 No Comments

A: This is a surprisingly complicated question, as it touches on the differences between traditional and Roth IRAs, as well as what counts as a “qualified education expense.” Because Roth IRA contributions are made with after-tax earnings, a person can withdraw his or her direct

My daughter would like to use some of her Roth IRA to pay for some current tuition fees and loans. Can she do this without a penalty?

July 7, 2024 No Comments

All Rights Reserved