|
|
| *Home>>>Capital Investment |
Taxes on investments in IRAs and 401(k)? |
Do I have to worry about any special tax consequences on these investments when I retire? That is, if I draw an income stream, will the taxes just be treated as income or will the source (capital gains vs. dividends, interests etc.) be a factor? Once you become of age and are allowed to begin receiving distributions from your IRA the distributions will be treated as ordinary income and taxed at your regular income tax rate. If you make distributions from your IRA/401k account before you reach the age of 59 1/2 you will be charged a ten percent penalty and the distributions will be taxed at your regular tax rate. There are certain exceptions to the rule but generally you will be charged the 10% early withdrawal penalty. I have listed a source web-site which will give further details on exceptions to the early withdrawal penalty. Hope this helps. When you retire and start taking distributions the distributions will be taxed as regular income with the sources not being a factor at all. Withdrawals from a 401k or a traditional IRA are taxed as ordinary income. What caused the gain is not taken into account. One "special" situation is that you are required to start taking distributions (and paying ordinary income tax ) at age 70 1/2. |
| Tags |
| Earn Money Direct Investment Debt Financing Capital Investment Business Investment Business financing Business Invest Business Debt |
| Related information |
I would say never put all your eggs in one basket. Every market has its own cycle. Be sure to have something in stocks, bonds, money markets, government securities and real estate. ...You may want to post this question in the Homework section of the Education and Reference category. Better yet, why don't you actually do you own homework? ...Your mutual fund is really a big collection of many different stocks. As stocks go up and down, and companies do better or worse, the mutual fund manager will choose to sell some of the stocks and... Many peoples retirement incomes are lower so the deferred is best for them . For the few that will have equal or higher , the Roth IRA is a better option . > I am a real estate agent in Maryland...suburbs of DC. My daughter is also an agent in Va. I can advertise it in my advertising that I do monthly, for a fee. I don't think that Yahoo does indi... if you took possession of the proceeds from your earlier sale, you are on the hook for the taxes no matter what you do now. to effectively pull off a 1031, you have to place the entire proceeds ... YES THEY CAN BUT THEY MUST FILE FOR LISTING APPLICATION FIRST . ...I think time is implicit in most of their calculations. Most methods of calculation including IRR-Internal Rate of Return and NPV-Net Preasent Value have a time factor in them. I actually think t... |
Categories--Copyright/IP Policy--Contact Webmaster |