CRS: Individual Retirement Accounts and 401(k) Plans: Early Withdrawals and Required Distributions
Individual Retirement Accounts and 401(k) Plans: Early Withdrawals and Required Distributions, Updated October 27, 2008
"In the interest of encouraging workers to save for retirement, Congress has authorized several kinds of retirement savings plans that qualify for reduced or deferred income taxes. These plans provide a financial incentive for people to save, either by allowing workers and employers to deduct from income the amount they contribute to the plan or to take tax-free distributions from the plan after they retire. This CRS Report summarizes the provisions of law that govern the taxes applicable to pre-retirement distributions from retirement accounts, and the situations in which distributions must be taken from a plan in order to avoid a tax penalty."
Related postings on financial system
