Sam, age 60, has left his old employer and taken a new job at a different company. He is wanting to simplify his life by consolidating his various retirement accounts. He has heard that many retirement plans have a 20% mandatory withholding requirement when someone takes a withdrawal. He needs $15,000 until his paycheck starts at the end of the month.
Which of his accounts would allow him to avoid the 20% mandatory withholding rules?
a. His traditional IRA with a mutual fund family.
b. His money purchase plan with his last employer.
c. His Section 403(b) plan with an employer from 8 years ago.
d. His Section 401(k) plan with his last employer.
