Dec 09 2008
When Can I Start Taking Funds From My IRA?
You have worked hard and made many contributions to your Independent Retirement Account by the time you near your retirement age. If you retire “early” there are a few rules you need to know about your IRA and when you can begin withdrawing funds without penalty.
Under the current rules you can officially begin drawing down your IRA at age 59 and 1/2 without any penalty. Of course, as always, there are exceptions to the rules. For example if you become disabled prior to age 59 and 1/2 you may be entitled to withdraw funds from your IRA to help sustain your income. Before making any decisions you should contact your IRA custodian or account manager and remember that different types of IRA’s are subject to different rules.
In the event of an early death, when the IRA owner dies before age 59 and 1/2, the beneficiary is entitled to IRA funds without penalty. Additionally if you need supplementary income you may also be able to take a series of equal payments without penalty. Again you will need to consult with your adviser.
