New 401K / IRA Penalty Exception Emergency Personal Expenses

Do you have any clients who might need $300 – $1,000 cash rather immediately, and aren’t sure how to get it?

If yes, you might consider telling your clients about this new tax change:

  • Starting in 2024, you can now pull out up to $1,000 for “emergency personal expenses” without paying the 10% early withdrawal penalty. 
  • Congress, by means of Secure Act 2.0, has defined “emergency personal expenses” as expenses being “for purposes of meeting unforeseeable or immediate financial needs relating to necessary personal or family emergency expenses.” 
  • In other words, it’s a pretty wide variety of expenses that can qualify for this new exception to the 10% early withdrawal penalty.
  • Note that you still have to pay income tax on the withdrawal–you just don’t have to pay the extra 10% penalty (as long as you follow the rules).

We’ll have much more detail about all the new Earned Income Credit changes, along with all the other new tax changes, in our tax update courses that are being updated now and will be released in “Version 1” form on July 1, 2024.

All Pronto Tax School Members will automatically receive the updated courses in your Pronto Tax School Account on July 1.

Reminders RE: “The Other Deadline” Here for You: 

An important reminder is about the price increase on the Forever Edition Membership with Pronto Tax School. It’s been $97 for quite some time now, and if you haven’t taken advantage of that price yet, you will miss out starting July 1st this year. We are increasing the cost of the FE membership, but providing lots of reminders and warnings, so you don’t miss out! The plan will be increasing to $297 starting July1st. So check out out pricing and lock in your “forever” price at $97. As long as you keep your account in good standing and don’t let it lapse, you can continue to renew at $97 every year moving forward!! All the benefits that we create in the future will be included as well!

We are adding a bunch of new benefits to our most popular membership (The Forever Edition).  Details of upcoming new membership benefits are here for your review. And YES, all Existing Members get access to ALL new benefits that get added, while still keeping your same price forever.

If you’re already a Pronto Tax School Member, THANK YOU! Existing Members are NEVER subject to ANY membership price increase (as long as you keep your Membership active and don’t let it lapse). And any benefits added now or in the futures will be yours too! If you already have an active Pronto Tax School Membership, please don’t buy another one! 🙂

If you’re not sure if you have an active Pronto Tax School Membership, please click here to contact the Pronto Tax School Support Team and we will check on your membership status for you!

July 1 and moving forward, our Membership Plans will start at $297 per year. June 30, 2024 will be the last day ever to get a Pronto Tax School Membership for only $97 per year.

And remember, whatever price you get now, that’s going to be your same price EVERY year, because we lock prices membership prices forever for all Existing Members.

If you have questions or need help, please contact our support team.

Let's Make Sure We Direct You to the Right
Training for Your Needs!

Please click the button below for your primary tax credential.

Not sure which credential applies to your situation?  Click here to reach our support team and we'll help you decide.

Let's Make Sure We Direct You to the Right
Training for Your Needs!

Please click the button below for your primary tax credential.

Not sure which credential applies to your situation?  Click here to reach our support team and we'll help you decide.