Penalty for Retiring at 55????

[rdjrn]

My company offers full retirement at age 55 with 30 years of service (profit sharing + lump sum pension + retiree health insurance). Will I have to pay a tax penalty for withdrawing retirement funds prior to age 59-1/2?

 

[rescueme]

Here's an article on the subject. It looks like since you are at least 55, you can do a rollover without paying any taxes (unless you do withdrawls):

Kiplinger.com

 

[ziggy29]

For the most part yes, you would owe penalties unless it's a 401K (which can be tapped without penalty at 55 for retirees). Rolling over into an IRA would avoid the tax penalties but you'd have to wait until 59 1/2 unless you used 72t.

 

[friar1610]

My company offers full retirement at age 55 with 30 years of service (profit sharing + lump sum pension + retiree health insurance). Will I have to pay a tax penalty for withdrawing retirement funds prior to age 59-1/2?

I'm not sure how this applies to your situation and what you precisely mean by "retirement funds" but this is worth a read:

Retire Early: Can I withdraw money from my IRA before age 59½ ?

 

[bigla]

Is it a 401k or a 457b. I was a NY State employee and had a 457b. You can withdraw from that after leaving your job without penalty.
Larry