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insurance premiums

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Byjoet

L1: insurance premiumsCan I withdraw funds from a sepp for medical insurance premiums and higher education for children and grandchildren without the penalty?2010-03-19 16:39, By: joet, IP: [96.8.254.94]
L2: insurance premiumsIt depends. A recent decision/ruling seems to indicate that distributions eligible for exceptions to the 10% penaltyother than SEPP 72-T were allowed in addition to those distributions without busting a plan.However, there are specific conditions for those exceptions under all circumstances :1. Health insurance premiums are qualified only for certain unemployed individuals.2. Unreimbursed medical expenses in excess of 7.5% of AGI (Adjusted Gross Income).3. Qualified higher education expenses of the taxpayer, spouse, child, or grandchildren.2010-03-19 16:52, By: dlzallestaxes, IP: [173.49.30.37]

L3: insurance premiumsHere is a link to an analysis of the Benz decision, and as the analysis suggests, one ruling that contradicts all prior rulings on this issue is not really enough to count on, and Benz could just as easily be reversed in the next ruling.Obviously, if you have another IRA that is not part of your SEPP, you should take the extra distributions from that IRA, and most of them would probably qualify for a penalty exception.http://www.72t.net/Articles/ArticleShow.aspx?WA=aa61d472-0237-4cb8-9e91-a5f3f52fa1a52010-03-19 19:29, By: Alan S., IP: [24.116.165.60]

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