How much penalty is there if you withdrawl your IRA before your 59 1/2 years of age?

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How much penalty is there if you withdrawl your IRA before your 59 1/2 years of age?

2007-10-14 13:06:01 · 3 answers · asked by cindy10040@sbcglobal.net 1 in Business & Finance ➔ Taxes ➔ United States

3 answers

The penalty is 10% but you also have to pay federal and state (if applicable) taxes on the money.

It is common to pay close to 40% of the withdrawl in taxes in penalties but it depends on your total income and amount of the withdrawl.

2007-10-14 13:34:26 · answer #1 · answered by Wayne Z 7 · 1⤊ 0⤋

Tax at regular rates on the amount of the withdrawal plus 10% unless you meet one of the exceptions.

2007-10-14 14:32:42 · answer #2 · answered by Anonymous · 1⤊ 0⤋

not sure but last time i checked, i think its between 25%-40%.

2007-10-14 13:11:23 · answer #3 · answered by GG 7 · 0⤊ 1⤋