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72(t) Deep Dive, A Meal Without Protein, Intentionally Smaller Life

72(t) Deep Dive, A Meal Without Protein, Intentionally Smaller Life

Funding Retirement Before Age 59 1/2

During ChooseFI episodes 475 and 491, Sean Mullaney and I tackled funding early retirement and accessing retirement accounts before age 59 1/2.

One tactic we discussed is the 72(t) payment plan, sometimes referred to as a series of substantially equal periodic payments, a "72(t)," or a "72(t) SEPP."

72(t)s can be great, but they come with a downside: potential imposition of retroactive 10 percent early withdrawal penalties (and related interest) for missteps while on the 72(t) payment plan.

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