| Author | Message | ||
     Entikaburlu Side Hero Username: Entikaburlu Post Number: 2653 Registered: 07-2011 Posted From: 67.247.83.224 Rating: N/A |
No need to move anything. He can maintain the 401K till he reaches 65. Nobdy forces them to close the 401K. If you want to do your own managing of the funds, you may want to create a "SEP IRA" or a "Self Directed IRA" and move the funds into that, and you can manage it yourself. The advantage is, you can pick your own stocks rather than the limited MFs the 401 K trustee allows. There is no penalty to move. But you would be selling and buying. It will take a week to buy after you sell, so based on the market movement, you may lose some if the market went up steeply after you sold. | ||
| Crazy Junior Artist Username: Crazy Post Number: 21 Registered: 02-2011 Posted From: 198.241.217.15 Rating: N/A |
Roth lo we can with draw principal after 5 years without any penalties. but earning in roth, you should be withdrawing only after 591/2 with out any penalities and tax free before 59 1/2 years earnings are taxed and penality so strategy is a person should withdraw only amount say 20k so that all the extra tax will be offset in standard deduction. so he will paying no tax. | ||
| Dreamcatcher Side Hero Username: Dreamcatcher Post Number: 2258 Registered: 11-2009 Posted From: 208.86.145.68 Rating: N/A |
>>> IRA->Roth-IRA Actually, what I stated in the previous post is wrong. If you move your money from 401(k) to Roth, you only pay taxes as Roth is a post tax vehicle. Withdrawl penalties come into picture depending on when you withdraw money from your Roth IRA. Moving money from 401(k)/Trad. IRA to Roth makes sense ONLY if you anticipate higher taxes when you were planning to withdraw money in the future as withdrawing against Roth is tax free (there will still be early withdrawl penalties even for Roth IRA). | ||
| Dosakaaya Side Hero Username: Dosakaaya Post Number: 6595 Registered: 02-2010 Posted From: 151.191.175.208 Rating: N/A |
plan baagundhi, possible aa ala cheyyatam... | ||
| Crazy Junior Artist Username: Crazy Post Number: 20 Registered: 02-2011 Posted From: 198.241.217.15 Rating: N/A |
First convert 401K into traditional IRA Then after your friend moved to India, he can convert full or part of IRA money into Roth IRA depending on the income for year. since that amount is treated as income he will be paying uncle sam taxes on the amount he converts. and after 5 years he can withdraw the original amount with out any penalties. | ||
| Maverick Legend Username: Maverick Post Number: 31979 Registered: 01-2008 Posted From: 204.86.204.207 Rating: N/A |
basic ga 401k to ira move chesaka.. say u r leaving next year for good, leave in jan end..u get paid for jan..and ur income will be very less and ur tax will be low then..ala maska veyyach Who is this DB member? | ||
| True_indian Side Hero Username: True_indian Post Number: 7985 Registered: 01-2008 Posted From: 12.129.87.4 Rating: N/A |
 http://www.bankrate.com/finance/money-guides/take-tax-contro l-of-your-ira-conversion-1.aspx http://christianpf.com/convert-traditional-ira-to-roth-ira-2 010/ | ||
| Dosakaaya Side Hero Username: Dosakaaya Post Number: 6594 Registered: 02-2010 Posted From: 151.191.175.208 Rating: N/A |
IRA Roth loki move chesthe you ahve to pay tax. Roth is after tax -> but any gains you make are tax free... regular IRA ayyithe penatly vuntadhi.. if you take the money out, you have to pay penatly... tax avoid cheyyali ante, India lo vuntunte kanuka and no income ayyithe, if you withdraw a certain amount every year you don't have to pay tax. | ||
| Idle_yzag Legend Username: Idle_yzag Post Number: 33580 Registered: 02-2008 Posted From: 198.80.144.187 Rating: N/A |
thru IRA 401k->IRA->Roth-IRA this is what scallion said on that day RahulGandhi/JP/Chiru | ||
| Maverick Legend Username: Maverick Post Number: 31973 Registered: 01-2008 Posted From: 204.86.204.207 Rating: N/A |
401k nunchi roth enti? tranditional ira ki cheyyali kada.. Who is this DB member? | ||
| True_indian Side Hero Username: True_indian Post Number: 7984 Registered: 01-2008 Posted From: 12.129.87.4 Rating: N/A |
you are right | ||
| True_indian Side Hero Username: True_indian Post Number: 7983 Registered: 01-2008 Posted From: 12.129.87.4 Rating: N/A |
you can call your 401k company and ask them i know if you want to invest in a business you can withdraw without penalty or tax contact gudiantfinancial for more info | ||
| Dreamcatcher Side Hero Username: Dreamcatcher Post Number: 2254 Registered: 11-2009 Posted From: 208.86.145.68 Rating: N/A |
>>>IRA Roth loki vesthe penality vundadhu 401(k) ni Roth IRA loki ela estaav annai? 401(k) is a pre-tax retirement vehicle where as Roth IRA is a post-tax retirement vehicle. When you move your 401(k) to Roth IRA, you are basically withdrawing money from your 401(k) and putting it in a Roth IRA. So, the initial step of withdrawing from 401(k) itself will trigger penalty and tax NOW before you put the money into a Roth IRA. Check with your CPA. | ||
| Idle_yzag Legend Username: Idle_yzag Post Number: 33579 Registered: 02-2008 Posted From: 198.80.144.187 Rating: N/A |
vuncle, nen appudu aa point pattukoni mana DB oka top finacial company lo pani chesthunna CFA lani adgithe emi seppaledhu, contact CPA ani annadu, nen lite theskunna ayan nuv Scal ki direct ga email kottu, response sithadu RahulGandhi/JP/Chiru | ||
| Gandhiguevara Megastar Username: Gandhiguevara Post Number: 21355 Registered: 10-2009 Posted From: 67.188.27.198 Rating: N/A |
vuncle...Gaali Jana skills uze chesi aa thread dig seyyavaa plz | ||
| Idle_yzag Legend Username: Idle_yzag Post Number: 33577 Registered: 02-2008 Posted From: 198.80.144.187 Rating: N/A |
ledhu brother scallion annai edo process cheppadu, IRA Roth loki vesthe penality vundadhu and then if you take from Roth just tax ani RahulGandhi/JP/Chiru | ||
| Dreamcatcher Side Hero Username: Dreamcatcher Post Number: 2253 Registered: 11-2009 Posted From: 208.86.145.68 Rating: N/A |
>>>withdraw certain amount with out penalty I think this is not true, there will always be penalty if you do early withdrawls (with exceptions like first home purchase, etc). Check with your CAP/Tax Consultants. | ||
| Emc2 Side Hero Username: Emc2 Post Number: 4330 Registered: 03-2008 Posted From: 199.107.16.132 Rating: N/A |
lets say if he move out of the country in this year then he may not be able to with draw from 401k in this year, he can show next year as no job no income and withdraw certain amount with out penalty but tax.. check with CPA.. cherapakura chedevu. | ||
| True_indian Side Hero Username: True_indian Post Number: 7982 Registered: 01-2008 Posted From: 12.129.87.4 Rating: N/A |
you can move to IRA and there wont be any penalty but if you withdraw then you pay penalty, moving from 401k to IRA doesnt change anything you wont get any 1099 from fidelity | ||
| Gandhiguevara Megastar Username: Gandhiguevara Post Number: 21348 Registered: 10-2009 Posted From: 67.188.27.198 Rating: N/A |
kochen evaridaithe endi answer cheyyi...maa vaadi mail as it is gaa post chesaa | ||
| I140 Junior Artist Username: I140 Post Number: 541 Registered: 10-2010 Posted From: 170.63.96.108 Rating: N/A |
babai.. i have annavu.. nidena question | ||
| Gandhiguevara Megastar Username: Gandhiguevara Post Number: 21347 Registered: 10-2009 Posted From: 67.188.27.198 Rating: N/A |
My freind's kochen If I want to move India in next 3 yrs what is the procedure to Move 401k to IRA (To avoid tax & penalty fees) What type of IRA account needs to be opened? Right now I have 401 K account with Fidelity |
