6 Little-Known 401(k) Perks

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I am seriously worried about our 401K, and IRAs. If Obama gets in again, is there a chance he will "change" the rules or come up with some way to reach into these savings in the form of taxes, fees, service admin costs, etc? If so, is it prudent to remove from these forms of svgs and pay the tax owed on Reg. IRAs and reinvest?

linette of FL 11:54AM October 06, 2012

Can I make a 401(k) IRA withdrawal in 2012 and defer it to the 2013 tax year to satisfy my mandatory withdrawal then? (age 77)

Eleanor of PA 2:04PM June 27, 2012

Does this conclusion not contradict the info presented?
When you withdraw company stock from the 401(k) plan, the appreciation of the stock is not taxed until you sell it, and the sale will often qualify to be taxed at the long-term capital gains rate of 15 percent. If company stock is rolled over to an IRA, the appreciation will be taxed at the typically higher ordinary income tax rate of up to 35 percent upon withdrawal. "Receiving that tax benefit can be quite beneficial, so converting your company stock to cash to roll over to an IRA is probably not the best practice," says Wray.

Confused of MD 8:07AM December 26, 2011