Bankruptcy And Retirement Assets In New Jersey
Many people erroneously think of retirement accounts as savings to be used in an emergency. In fact, retirement resources are set aside for your older years. They are vital to your own future. It is in the government’s best interests to leave your retirement resources alone as you resolve debt problems along the way during your younger years. This is why most retirement plans are exempt from liquidation in a bankruptcy or creditors’ attempts to levy on these accounts.
If you have arrived at this Web page while considering the possibility of tapping into your retirement assets to pay off consumer debts, we hope and expect that the end result may be this: You will heed our earnest advice: “Don’t touch your retirement assets!” Tapping into retirement accounts too early will trigger penalties (fees) and an increased tax burden. More importantly, you will remove the opportunity to let retirement assets continue to grow through compounded interest over the decades ahead. Digging into assets that are protected in bankruptcy in order to pay off debts that could be eliminated through bankruptcy is not a smart idea at all!
- Tax-exempt 401(k)s, 403(b)s, profit-sharing and money purchase plans, SEP and SIMPLE IRAs, and defined-benefit plans such as pensions
- IRAs and Roth IRAs, up to $1,171,650 per person
Protecting 401K Saving and Filing Bankruptcy
Discuss your pending bankruptcy and retirement assets in New Jersey. Call our experienced Northern and Central New Jersey bankruptcy attorneys today for a free one-half hour consultation at 973-414-8069. Our lawyers serve Essex, Union, Hudson, Passaic, Bergen, Morris, Middlesex, Sussex and other New Jersey counties.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.