What can I do to avoid penalties for early withdrawal with an IRA Account in a DIVORCE CASE ?

Asked over 1 year ago - Los Angeles, CA

I am under age 59 1/2 ,and I am in a divorce process. Today, I received a court order in which the court divided my IRA's Accounts, and the IRAs of my soon to be ex-husband by 50/50. how can i get part of my spouse's IRA? What can I do to avoid penalties for early withdrawal?. My soon to be ex husband told me that I should wait until the divorce is over, is this true?, Or can i go to the bank with the court order to get my 50/50? (I have copy of the court order in my hands). how is the process to get my money? should i go with him to the bank or can i do it by myself, with the court order?

Note: all my IRAs accounts will be divide... so where should I transfer the money that I will get from his IRAs' accounts ?

Thanks

Attorney answers (4)

  1. Daniel Seth Williams

    Pro

    Contributor Level 18

    2

    Lawyers agree

    Answered . This is a question for a financial advisor, not an attorney.

    Attorney Williams practices FAMILY LAW throughout the State of California. The response provided in this forum is... more
  2. Alexandra Rachel Lavinsky

    Pro

    Contributor Level 13

    2

    Lawyers agree

    Answered . Interspousal transfer from one IRA to another avoids such penalty.

  3. Jayson Lutzky

    Pro

    Contributor Level 20

    3

    Lawyers agree

    Answered . Speak with a CPA about opening an IRA and about a tax free rolling over of your husband's IRA into that account.

    If this answer is helpful, then please mark the helpful button. If this is the best answer, then please indicate... more
  4. Samuel Lynndon Morgan

    Contributor Level 8

    1

    Lawyer agrees

    Answered . You will need to use a QDRO (Qualified domestic relations order) to move these funds without penalty. You have to get the QDRO form to the administrator of the retirement account.

    DISCLAIMER: NO ATTORNEY CLIENT RELATIONSHIP HAS BEEN FORMED. Please consult with an attorney licneced in your... more

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Divorce

Divorce is the process of formally ending a marriage. Divorces may be jointly agreed upon, resolved by negotiation, or decided in court.

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