JBedford
Expert Alumni

Get your taxes done using TurboTax

Hi, @nuggetsmd72 , thanks for the question! To answer, the funds are available to withdraw, but I'm not sure if this is exactly what you mean. If you're asking if the earnings can be withdrawn tax-free, then I believe the answer is no. I apologize that I originally misread your question, thinking that your original account was also an IRA, not a 401k. (It can't be both as you stated, so I'm assuming you meant 401k.)

 

I'm not a financial advisor so I can't say if it would have been better to cash it out, which is now a moot point anyway. But you would have been able to withdraw the earnings tax-free, though perhaps not penalty-free, depending upon your age. 

 

Hope this helps, please let me know if this raises additional questions! 

 

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