Sentences with phrase «unexpected tax penalties»

Not exact matches

For this situation you can wait a bit (although you might miss refunds from yet another year, but I would guess that had you been expecting refunds you'd file taxes, and whatever unexpected refunds you might have had - all gone for the penalties).

For those who don't have emergency cash on hand, unexpected expenses, such as car repairs or medical bills, will have to be paid with credit cards or retirement funds — solutions that will either dig you deeper in debt or result in taxes and penalties on funds earmarked for your golden years.

But even if people today don't actually pay down the mortgage balance, in the event of an unexpected expense, tapping into the equity in the home is almost always much cheaper than tapping into that 401 (k)(the latter subject to penalties and taxes).

One important caveat: Prior to age 59.5, it's important to make sure you at least have enough in taxable accounts or Roths to meet any unexpected expenses without having to pay taxes / penalties.

It's not really a penalty, but you need to be aware of it so as to avoid unexpected tax consequences.

Failing to know about these limits can lead to unexpected taxes and possibly penalties when you attempt to withdraw money from the account.