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Level 1
posted Feb 2, 2021 1:10:02 PM

Do I have to pay the 10% early withdrawal penalty if my employer cashed out my pension when they were bought out? Was not given the option to roll because of the $ amount

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1 Best answer
Expert Alumni
Feb 2, 2021 1:34:55 PM

You will have to pay the penalty, as you could have put the distribution you received into another IRA on your own. You were allowed sixty days to put the funds into another retirement account.

1 Replies
Expert Alumni
Feb 2, 2021 1:34:55 PM

You will have to pay the penalty, as you could have put the distribution you received into another IRA on your own. You were allowed sixty days to put the funds into another retirement account.