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tm0330
Returning Member

401k rollover

I rolled my 401k into an IRA in 2019.   If I contribute to the IRA for last years contributions, will I be able to withdraw monies next year without penalty.  I will be 65 in a couple of months.

3 Replies
macuser_22
Level 15

401k rollover

Assuming you mean a Traditional IRA then since you are over age 59 1/2 there is no penalty on any distributions.  You would still be subject to the normal tax on distributions.

**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.**
tm0330
Returning Member

401k rollover

It is a traditional.

 

Thank you

LinaJ2020
Expert Alumni

401k rollover

 

 

If you are referring to an early distribution penalty, the answer would be No.  

 

Since you are older than age 59.5, you will be not subject to 10% from early distribution penalty.  However, you will still be taxed at your normal tax bracket as part of your taxable income.

 

@tm0330

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