For individuals 70 ½ and older, the fiscal-cliff legislation that Congress approved last week contains some welcome news: Congress has resurrected a provision that allows those taking required minimum distributions from IRAs to save on taxes while donating up to $100,000 to a qualified charity. And because the provision is retroactive to 2012, as well as covering 2013, it could effectively offer a do-over to some people who reduced their charitable giving because of cliff-related tax uncertainty.
Encore: A California law would set up 401(k)-like plans for employees whose companies don’t have them
One of the wonkiest debates in retirement planning is arguably also one of the most important.
There are ways around the 10% penalty for early withdrawals from 401(k)s and IRAs.