If you withdraw funds from a Keogh pension plan before age 59½,you will have to pay a _____ federal income tax penalty.
A)5 percent
B)10 percent
C)15 percent
D)20 percent
E)25 percent

Question

Quizplus · Accepted Answer

According to current tax laws, withdrawing funds from a Keogh pension plan before age 59½ will result in a federal income tax penalty of 10 percent. It's important to note that in addition to the penalty, any income tax owed will still need to be paid on the withdrawal amount.

If You Withdraw Funds from a Keogh Pension Plan Before