Reaching age 65 doesn't automatically change how the IRS taxes your 401(k) withdrawals. Instead, it taxes distributions from a traditional 401(k) as ordinary income, just like wages or Social Security ...
There's usually a 10% early withdrawal penalty if you take money out of your 401(k) under age 59 1/2. The Rule of 55 lets you take funds from your most recent employer's 401(k) without penalty if you ...
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