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Megan C
Megan C, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 16547
Experience:  Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level
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Im a long divorced 68 years old, small retirement benefits

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I'm a long divorced 68 years old, small retirement benefits of $11124.00/Year I'm planning to withdraw about $5.000 from my small 401K. How will this affect me tax wise? Will my investment institution withhold some tax money when I cash in? Thank you.

Megan C :

Hello! I am a CPA here to assist you with your tax questions. My goal is to provide you with excellent service today.

Megan C :

How are you today?

Megan C :

You will owe income tax on the withdrawal

Megan C :

Based on your income your total tax obligation will be (hold on a min while I calculate)

Megan C :

Your small pension still leaves you with 0 tax liability

Megan C :

You will have to pay about $500 in taxes, which should be withheld by your 401(k) custodian


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