Q. I retired from the federal government on July 31, 2019. I received $21,293 in Social Security, which I understand is not taxed in New Jersey. My income up until my retirement date was $36,249 ...

Typically, if you withdraw from your 401(k) prior to reaching age 59 ½, you will be penalized 10% on the withdrawal. There are a few exceptions to the penalty, but no exception to the taxes, he said.

Are my 401(k) withdrawals free of N.J. tax? ... A single person making $100,000 or less can exclude $75,000 from New Jersey tax, while a married couple can exclude $100,000.

Some others with a state income tax do not tax 401(k) withdrawals in retirement, including Illinois, Iowa and Pennsylvania. New Jersey allows retirees to exclude some income from state taxes ...

Some others with a state income tax do not tax 401(k) withdrawals in retirement, including Illinois, Iowa and Pennsylvania. New Jersey allows retirees to exclude some income from state taxes ...

IRA withdrawals before age 59 1/2 and 401(k) withdrawals before age 55 generally result in a 10% tax penalty. However, there are a variety of ways to avoid the early withdrawal penalty .

Roth IRAs offer tax-free withdrawals in retirement and avoid required minimum distributions. Use the 72(t) rule if you retire before age 59 1/2. Convert funds to a Roth IRA or Roth 401(k) plan.

There's no doubt that the 401(k) plan is one of the best tools Americans have to build long-term retirement wealth. But if you really want to maximize the value of the account, it's important to ...

Investment advisor Vanguard reports that 3.6% of workers took a hardship withdrawal from their 401(k) ... a $10,000 withdrawal becomes $6,100 after paying tax and fees. "If it's hardship ...

That’s on top of the taxes you pay for making any 401(k) withdrawal,” said Todd Stearn of The Money Manual. “Depending on how much you’re withdrawing, this can be a pretty big hit for your ...