Home

Money

Stocks

Mutual Funds

Bonds

Retirement

401(k)/403(b)

Research

Clients

America's Fastest Growing Independent Financial Advisory Network
A Nationwide Network of 100% Independent & 100% Objective Fee-Only Financial Advisers

Picture of The-Adviser The-Adviser.com The place to come for answers™

 

How will withdrawals impact social security?
By The-Adviser.com -   

SERVICES
Money Management
Portfolio Reviews
401(k) Rollovers
Retirement

Financial Plans
Estate Plans
College Savings
Clients Only

WHY US
Benefits
Available Services
"Interview Us"
Fee Information
Disclosures
Applications


THE COMPANY
Background
Philosophy
The Press
Policies

Opportunities

LINKS
Home Page

Related Links


Stock Quotes

New York -  Withdrawals from 401(k) plans are not considered earned income and do not impact the level of social security payments that you receive.

At age 60 you may withdraw any amount without fear of the 10 percent penalty. You will pay ordinary income tax on the taxable portion of the withdrawal, however. The amount of your Social Security benefits are not related to the amount you withdraw from these accounts in any way. Increasing your withdrawals will not affect your Social Security benefits nor will the amount you receive from Social Security affect the amount you may withdraw from your retirement account.

Although we usually consider the earliest age to receive reduced benefits to be age 62, you could receive benefits at age 60 if you are a widow (er) or as early as age 50 if you are a disabled widow (er).

In addition, if you have other income, there is one connection between your benefits and your retirement plan that you should keep in mind. Increasing your income by withdrawing larger amounts from your retirement account may push you over the "base amount" for determining the taxability of Social Security benefits. For a single person or head of household, the base amount is $25,000 and $32,000 for a married couple filing jointly. If total income plus one-half the Social Security benefits exceed this amount, as much as 50 percent of the benefits could be subject to taxation. If a single individual or head of household goes beyond a base amount of $34,000 or $44,000 for a married couple, up to 85 percent of the benefits could be taxable.

About Us
The Independent Adviser Corporation is a 100% Independent and 100% Objective Financial Advisory Firm that writes buy-side investment research. Our network of independent Fee-Only Financial Advisers serves individuals, families and businesses. They provide financial planning services, tax advice and offer professionally managed asset accounts. They do not underwrite corporate securities nor do they sell any proprietary products. To find out more or get a FREE consultation Ask The-Adviser.com.

Click here to learn about our 401(k) IRA Rollover Accounts

Do you want to receive the fastest growing independent buy-side research newsletter in America for FREE? 

Subscribe to The-Adviser.com Alert™ by entering your e-mail address  and clicking the button:

 

In Association with Amazon.com


Withdrawals from 401(k) plans are not considered earned income.


Got an investment question?
Ask The-Adviser.com

Open a professionally managed account:

  • Brokerage Accounts
  • Traditional IRAs
  • Roth IRAs
  • 401(k) IRA Rollovers
  • 403(b) IRA Rollovers
  • College Savings
  • Retirement Savings

Top Ten Investment Picks

Financial Advisory Services
Money Management
Retirement Planning
Portfolio Reviews
401(k) Rollover Assistance
College Savings
Financial Plans

In Association with Amazon.com

You don't need to be rich to hire a Financial Adviser. Just Smart

The Independent Adviser Corporation is a Registered Investment Adviser that specializes in helping individuals, families and businesses develop investment and financial planning strategies.
Click here to learn more about our Fee-Only services

Do you have a question about your investments?
Ask The-Adviser.com

Please visit our sponsors.
Click Here to Visit our Sponsor

1-800-ADVISER
America's Independent-Adviser.

© Copyright. The Independent Adviser Corporation.  All rights reserved. Important Legal Information