Skip to main content
April 12, 2022
Question

401K rollover to a simple IRA

  • April 12, 2022
  • 1 reply
  • 0 views

I did a complete rollover from my company sponsored 401K (after a layoff) to a simple IRA which I then had to cash out to pay some expenses incurred while unemployed. It looks like I'm getting hit for taxes twice. Is there something I'm missing since it's the same money?

    1 reply

    April 13, 2022

    The rollover of funds to the simple IRA is not taxable, as it is from one tax-deferred retirement account to another. Only the distribution from the Simple IRA is taxable. 

    **Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"