403b

1. Questioner: Paul

   Question: I need to withdraw half my retirement from my 403(b) as part of a separation/divorce agreement. My question is: who's responsible for the penalty and tax repercussions, myself or my soon-to-be ex wife? In other words, if the account had $100 and she is entitled to half, do I withdraw $50 and she gets what's left after taxes, etc? Or do I need to withdraw enough so that she will have $50 left after taxes, etc? [If this needs to be asked elsewhere, please accept my apologies.] View Answer

2. Questioner: Michelle

   Question: Can anyone give me some advice on what to do here. I know this will sound really irresponsible but I took out two loans against my 403B and have since changed jobs and cannot afford to pay them back and continue to have deductions taken from my current job. I know the loans will go into default and I will have to pay the taxes and a 10% penalty. Does anyone know how much I will have to pay in taxes? I think I may have to cash out the rest of my account as well to pay off debt and the taxes/penalty on the first loans. We needed money for alot of renovations around the house and now we have incurred some debt again and need the money just to live. I dont want to touch the rest of the money but don't want to be miserable and not be able to afford any childcare this summer with both me and dh working full time.

   Any advice would be appreciated View Answer

3. Questioner: Sandra

   Question: I am 60 years old. I contribute the maximum to my 403 K and my employer contributes 10%. I have lost a lot on paper these past months. Is it wise to keep contributing the maximum or should I put this money (except the 4% I put in that my employer matches) in something else? Thank you very much. View Answer

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