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Submitted 156 days ago...

Beaker271

Beaker271

New User (2)

I would like to close my IRA. What penalties are involved?

What penalties are involved if I close my IRA and take the cash?

 
Answer
 

Submitted 156 days ago...

mahalo

mahalo

Professor (1,186)

It depends on what kind of IRA you have.If you have a 401k or something similar, and early withdrawal typically means 10% penalty as well as paying tax on the amount in the IRA.

There are so many IRAs out there, if you want to know what the penalties will be you will have to check with your original documentation or contact the company that manages your account.

 

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