What’s more, the option to make after-tax contributions within an employer-sponsored 401(k) plan does not have an income limit, so regardless of what you earn, you can participate if your employer offers the plan. Note that withdrawal rules vary from plan to plan. For example, you might...
you could receive only $35,000 if are under 59½ years old and you elect to take a cash withdrawal rather than rolling over the funds into a qualified plan. Also, the money you receive could potentially bump you up into a higher income tax bracket, increasing the overall...
January 24, 2025 Estate Planning What is a Stepped Up Basis? Cost Basis of Inherited Stock and Other Assets A step-up in basis is a tax advantage for individuals who inherit stocks or other assets, like a home. A stepped up basis can apply ...
HOWEVER (and there’s always a however in life, don’t ya know) – if you rollover the 401(k) first (or during the same tax year) and then convert the $40,000 to Roth, you will be taxed on$30,000of the conversion. This is because, now that you’ve rolled over the 401(k) ...
Annuity Withdrawal Rules Annuities are designed to provide future income streams, not to be a reserve against healthcare expenditures. If you do need to surrender an annuity to pay for medical expenses or simply transfer the cash into an HSA, you will pay income tax on the withdrawal. If you...
Now that SECURE has passed, as long as you have earned income, you can make contributions to an IRA (or Roth IRA), no matter what your age is. Like I said, nothing really earth-shattering about this, although it does give some taxpayers more time to make contributions to IRAs if they...
Social Security for the Suddenly Singlecan be found on Amazon atthis link. This book is narrowly-focused on divorcee Social Security strategies and rules. It is also available in aKindle version. Sterling’s first book,Lose Weight Save Money, can bepurchased by clicking this link. The book ...