How to Document IRA Withdrawals for Medical Bills

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Tip 1 - How to Document IRA Withdrawals for Medical Bills | LIVESTRONG.COM

Published: 9 years, 4 month(s) ago | Submitted by RICHTAM | permalink

In general, money in your IRA is supposed to stay there until you reach age 59-1/2. The IRS recognizes, however, that unexpected difficulties can make this impossible and therefore allows some exceptions. One of these hardship exceptions is for large medical bills not covered by health insurance. Provided you use IRA money only as a last resort and...

For further reading: http://www.livestrong.com/article/126989-document-ira-withdrawals-medical-bills/ ^[1]

Tip 2 - How to Document a Medical Cause for IRA Distribution

Published: 9 years, 4 month(s) ago | Submitted by Athina Vorilla | permalink

The Internal Revenue Service intends for you to use money in an individual retirement arrangement for retirement, so it imposes a 10 percent penalty on money you withdraw before you reach retirement ...

For further reading: http://finance.zacks.com/document-medical-cause-ira-distribution-5003.html ^[2]

Tip 3 - 9 Penalty-Free IRA Withdrawals

Published: 9 years, 4 month(s) ago | Submitted by balzamor | permalink

If you need to take early distributions, find out which exemptions allow you to avoid expensive consequences.
Tags: ira,penalty,distribution,early-withdrawal penalty,early-distribution penalty,medical expenses,medical insurance,disability,higher education,first home,sepp,substantially equal periodic payments,health insurance,retirement saving plan,fa seeker

For further reading: http://www.investopedia.com/articles/retirement/02/111202.asp ^[3]

Tip 4 - Roth IRAs: Distributions | Investopedia

Published: 9 years, 4 month(s) ago | Submitted by Priya Patny | permalink

The tax treatment of a Roth IRA distributions depends on whether the distribution is qualified. Qualified distributions from Roth IRAs are tax and penalty free, but nonqualified distributions may be subjected to tax and an early distribution penalty. Qualified Distribution Defined For a distribution to be qualified, it must occur at least five years after the Roth IRA owner established and funded his/her first Roth IRA, and the distribution must occur under at least one of the following conditions: The Roth IRA holder is at least age 59.5 when the distribution occurs.
Tags: entrepreneur,ira,options,retirement saving plan,roth ira,fa seeker,wm-investments,wm-retirement

For further reading: http://www.investopedia.com/university/retirementplans/rothira/rothira3.asp ^[4]