Small business,such as local business,personal finance,credit and real estate.
Question:
Lets say Im investing my money in a Roth IRA and I don't plan to take it out until its time to retire, do I have the option to getting my money in one lump some or can I have it sent to me in bi-weekly or monthly installmets?
Answer:
It appears to me that Andy (the level 4 guy) is the one who didn't read the question. Andy gave you a very good explanation to a completely unrelated question.
When you reach retirement and begin to withdraw money from your account you will have to consult the company that your IRA is with to find out what options are available to you for withdrawl. There is nothing in the tax laws that preclude you from taking it out in a lump sum or installment payments but some individual companies have restrictions on the manner in which you can withdraw funds. The reason that some have these restrictions is because everytime that you withdraw money from any kind of IRA it is a reportable event which results in additional work and expense on the part of the brokerage company. I once worked for a company that only gave you the option of taking one withdrawl per quarter or a single lump sum distribution.
You can check with the company you have your IRA with now to see what their options are for withdrawing funds. Obviously that policy could change over time. I hope that this was helpful. Good luck.
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