Just curious - Is GE PPA/VPA taxable?
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I'm only paying tax on interest earned???
I understand having to roll it over pre 59 1/2 but afterward why is the after tax money taxed again? If it is, there is no reason on earth to contribute to this BS plan.
I also struggled with the double taxation question. After consulting with a financial advisor that has many GE employee clients, I came to accept this explanation and just rolled the VPA/PPA into my IRA, that’s a traditional IRA not Roth IRA. One less tie I have to GE.
So our money goes in after paying tax on it but then you get taxed again upon withdrawal? That would be double taxation. Sounds like a great deal, not! Referring to the amount you contribute, not the earnings.
Also see this @RC0a14T
https://www.thelayoff.com/t/RC0a14T
Thanks all
You can roll it over into your Personal IRA so it would not be taxed as income unless you withdraw before 59.5 years old.
Yes. Just look at your pay summary as it is post tax and does not reduce your taxable income like pre-tax S&SP/ 401K does. The regular pension benefit is also taxable when used if you live long enough to retire on it after working in a toxic factory with asbestos, radiation, electrical fields, mechanical and heat processes and other risks.