Can you just take a distribution from your Roth like it was a regular bank account since it's not taxable? Assuming of course your over 59 1/2 and meet the 5 year rule. Is there anywhere you need to document what you take out?
Roth distribution question
- Thread starter garyt
- Start date
You don't need to create any documentation. At the end of the year your brokerage will send you a 1099-R with a "T" in Box 7, indicating that it was a Roth distribution.
It should also be documented on line 15a on the 1040 as a non taxable withdrawal. (Not sure which line on the new 1040 for 2018).
They combined the old lines 15(IRAs) and 16(pensions) into line 4a.
To make more confusing,line4a has a box 4a for the gross distribution (sometimes) and a box 4b for the taxable part (0 for OP).
OP may want to keep old records that document when his first Roth was opened and birth certificate to show withdrawal was qualified.
Well.......you do have to worry a little bit unless you're an old geezer like some of us
Last edited:
VanWinkle
Thinks s/he gets paid by the post
Not needed to have your taxes completed, but needed if you get audited.
This is what /I was getting at. I couldn't find a spot on tax forms for it, buyt assumed you'd still need to show it somewhere.
RunningBum
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Jun 18, 2007
- Messages
- 13,233
I just want to comment that just because it's easy to account for, doesn't mean that's the one you should be tapping. Generally speaking, it's a great account to let grow tax free. However, there are situations like qualifying for an ACA subsidy where it may be best to take the untaxed income, especially if you don't have taxable assets with low capital gains to take. Just saying, make sure you have a better reason than ease of tax reporting for taking from the Roth.
Yep, ACA subsidy
