Taxing distribution of less than account balance; includes pre-tax and after-tax contributions

[jane123]

A plan includes both pre-tax and after-tax assets. The participant receives a partial distribution from the plan. How is the distribution taxed? Must the distribution amount be determined on a pro-rata basis, similar to IRAs?

Thanks in advance

Jane

[david rigby]

Please define "partial distribution".

[jane123]

Hi Pax,

Mary Kay responded to my other post under distributions from retirement plans (sometimes if it is urgent I post on more than one board in the hope of getting a quick response).

By partial distribution I mean a distribution off only part of the account balance, as opposed to taking a distribution of the full balance.

Thanks again

Jane

[Mike Preston]

See my post in that other thread.

[Brian Gallagher]

Did you check the plan documents? Most give deails on the distribution of funds by money source and, how, within each source, how the funds will be liquidated.

[Fredman]

This is a duplicate thread. I'm closing and leaving a link to the other thread to avoid any confusion. Thanks.

http://www.benefitslink.com/boards/index.php?showtopic=21441