I have both a traditional 401k and a Roth 401k from my current company. Some of the money in the account is from a previous employer that I rollover into the new employer. I had both traditional 401k and a Roth 401k at my previous company as well.
ROLLOVER
1) If I leave my current employer can I have the Traditional 401k transferred to a Traditional IRA and the Roth 401k transferred to a Roth IRA?
1A) Do I have any taxes or penalties on this approach for a direct rollover?
WITHDRAWAL from IRA (NOT QUALIFIED)
All questions below are for a non-qualified withdrawal distribution
2) If I need to take a distribution from the Roth IRA (the Roth 401k money that was just rolled over to the Roth IRA), can I do it immediately after the rollover or do I have to wait?
2A) Is there any penalties with taking a withdrawal from a Roth IRA that was rolled over from a Roth 401k? Particularly, with a withdrawal from the contribution amount of the now Roth IRA?
For example, say I have $30k in 401k total, with $15k in Traditional and $15k in Roth 401k that gets transferred into the two IRAs.
Say that from the $15k in the Roth Account, I have $10k in after-tax 401k contributions and $5k in growth/earnings.
Can I immediately withdrawal the $10k in after-tax contribution from the converted Roth IRA and avoid taxes/penalties? This would leave the $15k in the Traditional IRA and the $5k from the growth/earnings in the Roth IRA. Is this possible without taxes and penalties?
Note: Due to my age and years of contributing, I don't meet the qualified distribution requirements on either 401k or IRA.
