TaxesAvoiding the 10% Penalty in 5 Easy Steps, by Ed Slott

As a retirement account owner, you’ve probably been warned about the 10% early distribution penalty that applies to taxable distributions made before age 59½.


While tapping your retirement savings early should be considered a last resort, did you know that there are exceptions to this rule if you need to access your money early?

Expenses such as medical bills, buying your first home and higher education may qualify as exceptions and allow you to withdraw early without penalty. However, there are specific criteria that must be met for an exception to qualify.

To learn more, click here to download “Avoiding the 10% Penalty in 5 Easy Steps.”

Have more questions about your retirement account distributions? Contact our office at (425) 252-4032 to schedule a time to visit.


Ed Slott is not affiliated with Bailey Wealth Services or LPL Financial.
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