Comments on: Remembering Our Troops during Tax Season

By: Tim Barton

Tim Barton — Wed, 12 Dec 2012 19:56:18 +0000

Someone told me that only the earnings would be taxable and I need not worry about any of the original ‘cash’ distributions-Is this the case

Yes this is correct. Also if you are over 59 1/2 and the money has been in the Roth for 5 years interest distributions will not be subject to income tax.

I believe that the college tuition is not taxable, but I am not at all sure how all the ‘extra’ expenses will impact the taxes First, housing, then food, books, furniture for the house, home and car repair, medical bills, ect. I believe that the college tuition is not taxable, but I am not at all sure how all the ‘extra’ expenses will impact the taxes,

Correct, Roth IRA distributions for educational purposes are not subject to income tax this would include text books and other required course materials. Since the Roth is in your name, your medical expenses or those of your dependents, I believe, would be qualified distributions not subject to income tax.

By: Trish Nuzum

Trish Nuzum — Tue, 11 Dec 2012 21:56:29 +0000

I really need some advice on on SGLI funded Roth IRA distributions and taxes. While I originally opened a roth IRA with the sole intention of sending my daughter to college; (her older brother’s one request “if anything happened to him”, when he enlisted into the service,)it seems the money is slowly being appropriated for other reasons. First, housing, then food, books, furniture for the house, home and car repair, medical bills, ect. I believe that the college tuition is not taxable, but I am not at all sure how all the ‘extra’ expenses will impact the taxes, Especially since my daughter is now married, (oh-her husband is also now unemployed- and the Roth Ira is in MY name, but these kids can’t seem to catch a break and it really is HER money. I can’t think that her brother wouldn’t want me to help them,but i am pretty much in over my head-tax wise) Someone told me that only the earnings would be taxable and I need not worry about any of the original ‘cash’ distributions-Is this the case? If not, then which college expenses are taxable and which are not? thank you

By: Tim Barton

Tim Barton — Sun, 15 Apr 2012 19:15:27 +0000

Agreed, taking care of our Military members as best we can is the least we can do.

By: Patty

Patty — Fri, 13 Apr 2012 13:47:29 +0000

You don’t hear too much about changes in tax law for the military because many of us are not involved in a military life. But that doesn’t mean we aren’t concerned about our military families and all of the hardships they go through. This was a great article to read and to realize that something is being done for these families so they are able to put money away for themselves even if their sole income was combat pay.

The Heart Act makes total sense to me as well. Thank you for this information. I would truly enjoy reading more about what is done to help our military families.