IRA Rules

Archive for November, 2007

Question: Will IRA Withdrawal penalties be relaxed to help homeowners?

What with so many people losing their homes, shouldn’t IRA rules be relaxed to allow early withdrawal without penalty if it saves ones home?
I have to disagree. For people who have owned their homes for a long time but are suddenly unemployed (counting people who still don’t have jobs after running out of unemployment benefits, the unemployment rate would be at least 17%).. who owe less than what is in their traditional IRA acct.. it would save the home. Of course they could do it and take the penalty but that seems punitive given the current economic situation and the bazillions we’ve given away to bail out corps “too big to fail”. That was our tax money doing the bailing.

Answer: Such a plan has been suggested by nothing has passed as of yet.

How to Save for Retirement using IRAs

Question: I started with $5k in a Roth IRA, the value has been cut in half. Can I withdraw all the money?

So I never had any earnings, in fact, have even much less than what I originally put. So if I withdraw all the money and then sometime later I put it back in the Roth will the 5 year rule apply from the date when I first opened the Roth or does it reset?
I don’t need criticism….I need answers.
I didn’t buy high…I continuously averaged down and the market kept tanking. It’s a bottomless pit. Easier said than done. Anyway, if I sold in January, I would have been better off now by buying yesterday. I don’t have anymore cash.

Answer: You are the poster child for why so many individual investors do so badly. Buying high and selling low. And I suppose you’ll want to get back in the market again AFTER stocks run up in price so you can start the process all over again. Leave the money in there. As a matter of fact, buy even more at these cheap prices. Or continue your strategy of buy high and sell low and tell us all how it works out. Good luck.

Reeling in the Years 1972-3

Question: im unemployed just file for benefits in ohio wanted to take some money out of my IRA account and wanted to?

know if unemployment would penalize me or not process my unemployment claim whats the rules for taking your money while filing for unemployment.

Answer: your IRA has zero to do with u/e…..

IRA Beats The System