Let’s Talk About Retirement

vsdbk asked:


Can I have an IRA and also a 401K plan at the sametime?

I am planning on getting a Traditional IRA plan so I can put away $4000 tax free for this year. However, my company may possibly introduce a 401K plan soon.

If I invest $4000 in an IRA account this year, and if my company introduces a 401K plan a little later this year, am I allowed to contribute to both IRA 401K plans in the same year?

FYI, my filing status is married filing jointly and my wife has a 401K plan at her work place.

Would appreciate any guidance here. Thanks.

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TheProfessor asked:


Where do contributions for either the deductible portion or the 401k Roth portion get reported? Is there a place on the schedule C or somewhere else?

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tooty1117 asked:


I received distribution of a portion of my 2006 401k contributions in early 2007 because of failure of 401k plan for high income earners. I reported this on my 2006 taxes. I received a 1099R in 2008 for 2007. How do I report this since I’ve already included it in 2006 taxes?

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kimberly03051 asked:


I owe the IRS 7K for taxes this year. The money I owe is for taking an early withdrawal from our 401K to fix the bathroom. I’m not sure it counts as a hardship, but the bathroom was mold infested and needed to be gutted everything replaced. Can i take more money out of my 401K to pay the taxes due and not have to incurr another penalty?

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Bala Gopalakrishnan asked:


I have a 401K that is vested for around 100000 US$ and I am allowed to take it after I leave the employer. I do plan to go back to India. Is it possible to take 15,000 $ per year and avoid paying federal and state taxes ( Since Iam out of country and not a resident + it falls with less income per annum). Is there a penalty that I have to pay while taking money out. I will have closed all my bank accounts except this IRA/401K account and so how would I pay the penalty and any taxes that might occur. Please advice.

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Dbub asked:


What kind of rollover or plan can I use so I can avoid paying taxes on my 30 year pension when I retire at age 55 ? I have been told I will have to pay penalties and taxes regardless if I am not 591/2 yrs old. Is this correct ? THanks

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rvirzi2000 asked:


Suppose I retire and start collecting Social Security benefits, but I also work part time and earn income. Ignoring any income taxes taken out of my pay, does Uncle Sam also still take social security tax from my wages even though I am now a beneficiary of the system?
TIA
I know the rules of how federal income tax is determined after retirement. What I want to know is will I still be paying into the social security fund even after I start collecting social security myself.

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taca c asked:


I need to help a retiring family member 57. He had a steady job for 9 yrs + at home business for 5 yrs. Due to receive settlement from a on the job injury. Need to resolve tax issue NOW. Yes he has most of his records (80%).

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MATADOR asked:


I am planning on having surgery out of the country, since the surgery in US is too expensive, I am thinking to use the money I had saved in my retirement account( IRA) .
Can I use this money without paying a penalty?
Since is for health reasons.
Does it matter that the surgery will be performed in another country?

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cwyetta asked:


WE took out the PERA before retirement.

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