Level 15

Retirement tax questions

@kmccreary wrote:

 I am under the impression that i can use this money tax free if we have not purchased a house in the last two years. 

Not tax free.    Up to $10,000 can be distributed without the additional early distribution penalty but the  normal tax on the distribution still applies.


See IRS pub 590B for details.  (The same rules for a Traditional IRA apply to a SIMPLE IRA for first home).


**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**