Vanessa A
Expert Alumni

Retirement tax questions

It depends.  If he is under 55, then yes, you will have to pay a penalty on this withdrawal if it was not rolled over to another qualified plan within 60 days.  It will not be reported on a W2, instead you should receive a 1099-R from his retirement plan administrator. 

If he is over 55, and eligible for retirement or over 59.5, then no you would not have a penalty on the withdrawal as this would be one of the exceptions to the withdraw penalty

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