I have a legally binding QDRO with funds coming from JP Morgan's 401K account. JP Morgan is going to seperate the accounts and put my portion in an account in my name and from there find out how I want the money dispersed. Will the money being put into a seperate account under my name cause me to be charged the 10% tax penalty? Should I have them immediately cut me a check to avoid penalties?
Asked on 4/10/12, 3:22 pm
1 Answer from Attorneys
Mark Dunn
Mark D. Dunn
No. Rolling the money into a new account has no tax consequences. If you withdraw the money early, THAT's when you incur the taxes.
Answered on 4/10/12, 8:36 pm
