DianeW777
Expert Alumni

Retirement tax questions

Unfortunately, the answer would likely be yes, it could make you ineligible. A withdrawal that increased your income past the thresholds would make you ineligible.  The IRS is using the adjusted gross income, which is $75,000 for an individual and $150,000 for a couple.  If you do take a withdrawal out, it is considered a part of that adjusted gross income. This works against you, but by choosing the three year option, it's counting only the taxable amount.  

 

If one third still puts you over the threshold, then you will not receive your stimulus.

 

Here is the most recent updated information for the third economic impact payment (EIP) stimulus payments. IRS EIP3 page 

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