- You won't face costly penalties when withdrawing for higher education.Image by Flickr.com, courtesy of Andrew Magill
You are allowed to withdraw money from your IRA at any time to pay for higher education. The IRS won't charge you any penalties or taxes. - You can pay for textbooks too.Image by Flickr.com, courtesy of Jasmine Jahromi
The IRS is flexible when it comes to higher education costs. You can use your IRA withdrawal to pay for tuition as well as fees, books, equipment or supplies. - You can use your IRA funds for your children's higher education.Image by Flickr.com, courtesy of kenny
The IRS also allows you to spend your IRA withdrawal on higher education costs for your children, grandchildren and spouse. - There is one requirement: You must spend your IRA funds on a school that has received full accreditation. Check for a list of fully accredited schools on the IRS's website (www.irs.gov).
- Talking to a tax professional can ease any concerns.Image by Flickr.com, courtesy of Ludovic Bertron
If you want to make absolutely sure your IRA withdrawal will not result in a penalty, ask a tax professional or certified public accountant.
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