401k Withdrawal
RolloverUSA.com presents some useful information regarding 401K Withdrawals, Rollover and Options after taking distribution from your 401K plan. Please visit RolloverUSA.com for on-going education and information, as well as access to local registered investment advisors who can meet with you.
401k Withdrawal Options
You can rollover an IRA from one account to another at any time, but if you are a victim of a corporate layoff, or considering changing jobs or about to retire and you are thinking of rolling over or contemplating withdrawal of funds from your 401k plan, then you have several options depending on your age, provided you are no longer working for the employer providing the 401k plan.
Your 401k withdrawal options are as follows if you are over the age of 59 ½ but under 70 ½:
-Take a lump sum distribution, in which case your 401k plan provider will write you a check for the value of your account less a 20% withholding tax mandated by the IRS. The 20% tax that is withheld will be counted against your income tax payable or will be counted towards any refund due for the tax year when you file your tax return.
-You can do nothing and leave it with your previous employer as long as the amount is greater than $5,000. Amounts less than $5,000 will usually be distributed to you regardless of you age. (check with your plan sponsor)
-Do 401k rollover into an IRA or a solo 401k (if you are planning to open your own one person business).
Your 401k withdrawal options are as follows if you are under 59 ½
-Take a lump sum distribution, in which case your 401k plan provider will write you a check for the value of your account less a 20% withholding tax mandated by the IRS, and a 10% withdrawal penalty. The 20% tax that is withheld, but NOT the 10% penalty, will be counted against your income tax payable or will be counted towards any refund due for the tax year when you file your tax return. Some 401k penalty free withdrawal exceptions are here.
-You can do nothing and leave it with your previous employer as long as the amount is greater than $5,000. Amounts less than $5,000 will usually be distributed to you, less a 20% withholding tax, regardless of you age. (Check with your plan sponsor)
-Do 401k rollover into an IRA or a solo 401k (if you are planning to open your own one person business)
Your 401k withdrawal options are as follows if you are 70 ½ or older
-Take a lump sum distribution, in which case your 401k plan provider will write you a check for the value of your account less a 20% withholding tax mandated by the IRS. The 20% tax that is withheld will be counted against your income tax payable or will be counted towards any refund due for the tax year when you file your tax return.
-Leave it with your employer 401k plan but start taking the required minimum distribution.
-You can do nothing and leave it with your previous employer as long as the amount is greater than $5,000. In this event, you will be taxed 50% of the required minimum distribution. Amounts less than $5,000 will usually be distributed to you regardless of you age. (check with your plan sponsor)
-Do 401k rollover into an IRA or a solo 401k (if you are planning to open your own one person business). You still have to take the required minimum distribution even if you roll it over to an IRA.
source: rolloveraid
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Who Can Help Me Get My Truck Payment Lowered? – Mike
“Dear Steve,
My wife has been ill for the past six months she had a heart attack in Nov 6th.I had to take a 25%pay cut my company kept me but took the pay away,I was upside down in my truck the payments are 368.00 per month is is possible to get the payment lowered
My wife has a 2005 ford and I have a 2001 Dodge truck her payment are 498 and mine are 368 per month .who can help us get these lowered
Mike”
Dear Mike,
Your options are going to be to possibly renegotiate the loan with the lender or to refinance the loan. One place to look for an unsecured fixed rate loan to pay off the truck would be LendingClub.com.
Big hug.
P.S. Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.
If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.
Source: Who Can Help Me Get My Truck Payment Lowered? – Mike
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I Was Scammed by Express Debt Settlement Holdings, Coastal Credit Solutions, Simon and Bocksch, and Noteworld. – Kevin
“Dear Steve,
My wife signed me up for Express Debt Settlement Holdings Inc without my signature or knowledge in Sept.. By the time I found out it was past the 30 days to cancel. I started expressing concerns to the number she had for the person who claimed to be in charge of our account but he was just a sign up person for Coastal Credit Solutions..
He told me many lies and claimed they would soon have enough money in my account to make a settlement. Well we got served with a summons by one of our creditors the end of Feb. I started checking and found out they had taken all the money out of my Noteworld account for fees and hadn’t contacted a single creditor.
Well I went on the attack big time. I started calling all the parties (Coastal, Express, Noteworld, and Simon and Bocksch Law firm and emailing them with my concerns. I filed complaints with BBB and Attor Gen in MN, FL: and US. I contacted TASC and went to my bank and put a stop order on my auto debit and they put a reversal on the Feb and Jan payments. I pointed out that the contract my wife signed didn’t have the correct numbers for Express or Noteworld and was probably invalid.
I pointed out that MN has very strict laws on such companies and express might not be legal in MN. And that the Florida Att Gen was suing 2 companies with practices like this. I rattled the cages hard for a week and wham noteworld reversed the last 2 payments and Express is offering a full refund but my wife needs to sign a release.
If she sign this release saying she won’t sue or bad mouth them etc. , does that bind me from staying on the attack against them and other bad debt settlement companies?
Kevin”
Dear Kevin,
There are only a few companies licensed in MN to do debt settlement and none of the players you mentioned are licensed. They were apparently operating illegally. At the time I am writing this the only licensed debt settlement companies in Minnesota are New Era Group, Pacific Debt, and Freedom Debt Relief. Click here for the list.
It sounds like they want your wife to sign a wavier based on her account but you are the victim here and she can’t waive your rights.
There are a number of lawyers in Minnesota that specialize in consumer fraud cases and you should contact one of them before your wife signs anything. You may be able to sue all the players and recover additional funds. For a list of attorneys, click here.
What did TASC say, if anything, and were they helpful in resolving this issue at all?
I want you to keep me posted on this situation as it moves forward. Please keep me posted by posting updates in the comment section below.
Big hug.
P.S. Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.
If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.
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My Ex-Husband is Not Paying My Debt Like He Promised in the Divorce. – Sheri
“Dear Steve,
I am currently being sued by my credit cards for debts incurred prior to my divorce. During the divorce I gave the franchises to my ex although they were bought with a second mortgage on my house.
He is paying the second as required by the divorce papers but is paying late, once he missed 3 mos in a row. He is further ruining what little of my credit remains. I cannot get the house refinanced due to poor credit score so I have no way to pay off the credit card debt. I cannot claim bankruptcy because of the large amount of equity in the home.. I tried selling the home- bad market- no buyers.. I am frustrated and depressed. I have money in equity and no way to access it and every avenue seems to have been blocked. I dont know which way to turn… Do you have any ideas I havent already tried? Please help!
Is there any way to access my equity with such poor credit? (500-600) Was I given bad advice by bankruptcy attorney? I just need to know if there actually is a solution available without giving up the equity it took years to build. Thank you.
Sheri”
Dear Sheri,
This is a far too common problem faced by divorced couples. When you get divorced you legally divorce your spouse but not your creditors. Even though a divorce document may say that the ex is supposed to pay a specific debt, if they don’t it’s your credit that is damaged. Ultimately the debt is your responsibility.
If he isn’t paying it your option is to take your ex-husband back to court, at your expense, and try to force him to pay.
Equity on paper is not currency unless it is transformed to cash by a buyer or lender. Since the house won’t sell that tells me it is either not priced to sell at a fire sale sales price or there are no well qualified buyers in your market.
Why wouldn’t a Chapter 13 bankruptcy work for you? Were you trying to do a Chapter 7?
Big hug.
P.S. Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.
If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.
Source: My Ex-Husband is Not Paying My Debt Like He Promised in the Divorce. – Sheri