Take the quiz to find out if the 72(t) strategy is right for you!
Discover if you're eligible to withdraw from your IRA/401(k) before 59½ – without penalties
Understand how to reposition funds for future tax-free income
Get matched with a financial expert for a free 15-minute consultation
Avoid common IRS pitfalls that cost retirees thousands
Don't worry, we can help!
Explain how the 72(t) strategy works—plain and simple
Evaluate your portfolio to see if it's the right fit for your situation
Help you avoid common tax traps with expert guidance and implementation
Design a step-by-step strategy customized to your goals
Take our short quiz to find out if the 72(t) strategy is a fit for your situation. It only takes 2 minutes and could save you years of waiting (and thousands in taxes).
Once you complete the quiz, we’ll show you your results and invite you to book a free 15-minute discovery call to review your options with a qualified specialist.
No pressure. Just answers.
We understand this can be a complicated and mostly unheard of process so we've compiled a list of common questions our clients and others have had...
The standard age for taking money out of your 401(k) plan is age 59 ½. There are other situations where you can withdraw cash out of your 401(k) plan before the age of 59 ½ without paying a penalty.
There are many different investment options that we can discuss with you and there are 3 steps in this process. If we are managing the account and payments for you, there is no additional fee for us to work on this for you. This is not a do-it-yourself project for many reasons.
There are several ways you can bust a 72(t) distribution and the consequences can have a severe impact on your taxes if the account is not managed properly. If a fault occurs, the IRS will assess the penalty tax on your latest distribution and retroactively assess the tax on all distributions taken plus interest. This is why it’s so important to work with an experienced specialist when establishing a 72(t) distribution. Most investment advisory firms, as well as most accountants, attorneys, and bankers, are not very familiar with this strategy and many choose to avoid it altogether due to the complexities and potential implications.
The answer is yes. By taking income through a 72(t), you are not avoiding income tax, but you are avoiding the 10% early withdrawal penalty.
Absolutely! You can start the stream of income with no penalties or hassle with the IRS, assuming you structure the distribution properly.
You can open multiple retirement accounts and can choose to only apply the 72(t) distributions to just one of your retirement accounts, not all of them. This can most times be a complex process. We have a highly trained and experienced staff to assist and oversee that this is done in the proper manner. A mistake here could be very costly.
We cannot answer this question without having a conversation with you and obtaining a comprehensive understanding of your goals, objectives, financial picture, investment experience, and risk tolerance. The expected rate of return will depend on the investment choices that we deem fit for your retirement game plan once we have reviewed and understood your personal information, situation, and goals.