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Bill
Bill, Financial Advisor
Category: Finance
Satisfied Customers: 3151
Experience:  EA, CEBS - 35 years experience providing financial advice
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I just started getting Social Security Disability benefits

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I just started getting Social Security Disability benefits in January. I am 57 years old. Is there any way I can access my IRAs without penalty since I don't know how long I can expect to live?
Thank you.

Bill :

Yes, you can make withdrawals from your IRAs without being subject to the 10% penalty as you meet the IRS's definition of disability. Withdrawals due to permanent disability are exempt from the penalty.

Bill :

You will need to file Form 5329 to claim the exemption.

JACUSTOMER-9r0sgp1l- :

OK, so it is as simple as that?

Bill :

Yes, it is that simple. Here are some IRS links explaining the rules - http://www.irs.gov/taxtopics/tc557.html http://www.irs.gov/pub/irs-pdf/f5329.pdf See page 53 - http://www.irs.gov/pub/irs-pdf/p590.pdf

Bill :

Use code 03 on the 5329 - See page 3 - http://www.irs.gov/pub/irs-pdf/i5329.pdf

JACUSTOMER-9r0sgp1l- :

Thank you very much, Bill. You have made me so happy! :) If I press the accept button will this page still be here so I can click on those links?

Bill :

I'm not sure. You may want to review the links first before accepting

JACUSTOMER-9r0sgp1l- :

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