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If I withdraw $10,000 from a traditional IRA to pay off

Customer Question
debt, how does this affect...
If I withdraw $10,000 from a traditional IRA to pay off debt, how does this affect me?
Submitted: 1 year ago.Category: Tax
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2/29/2016
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago
Tax.appeal.168
Tax.appeal.168, Tax Accountant
Category: Tax
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Q: If I withdraw $10,000 from a traditional IRA to pay off debt, how does this affect me?

A: The $10,000 will be taxed as ordinary income, meaning added to other income, and if you younger than the age 59.5 years old, you will also get hit with a 10% early withdrawal penalty.

Let me know if I can be of further assistance to you regarding this matter.

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Tax.appeal.168
Tax.appeal.168, Tax Accountant
Category: Tax
Satisfied Customers: 3,858
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Experience: 3+ decades of varied tax industry exp. Tax Biz owner

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