Retirement Accounts and Bankruptcy

Many people who are considering filing bankruptcy hesitate out of fear that they will lose everything. You should not surrender to this fear. The funds you have in your 401(k), IRA, pension plan and 403(b) accounts cannot be taken by creditors. Your 529 plan account, Coverdell education savings account (ESA) and annuities may also be out of the reach of creditors.

At The Law Firm of Droder & Miller in Cincinnati, we protect our clients’ assets and help them obtain debt relief through the bankruptcy system. We will work hard to help you take full advantage of the bankruptcy laws while enabling you to keep as much of your property as possible. Contact Nick Zingarelli at The Law Firm of Droder & Miller for a fresh start with the help of an experienced Cincinnati bankruptcy protection lawyer.

Don’t Spend Your 401(k) Retirement Savings to Pay Your Bills

Some people tap into their 401(k) and IRA accounts to pay their bills. This is a big mistake. It will significantly increase your tax liabilities, and those funds will be difficult if not impossible to replace.

Instead, you should speak with an experienced bankruptcy attorney to discuss your options. By filing bankruptcy, you can discharge or reduce your debts while preserving your precious retirement assets. And with greater cash flow, it will be easier to pay your monthly bills.

When you work with our bankruptcy attorneys, we will develop a plan designed to obtain maximum debt relief while enabling you to protect as many of your assets as possible.

Chapter 13 Bankruptcy and Retirement Accounts

The bankruptcy laws have many provisions that can protect your assets. For example, in a Chapter 13 bankruptcy, you can continue to make contributions to a 401(k) or IRA and receive the tax benefits of those contributions. If you have withdrawn funds from a 401(k) or IRA, you can pay back those retirement loans as part of your repayment plan.

Contact Our Cincinnati Bankruptcy Protection Lawyers Today

The Law Firm of Droder & Miller has helped many people in Ohio get debt relief, and we want to help you. To learn more about retirement accounts and bankruptcy, contact Nick Zingarelli at The Law Firm of Droder & Miller for a no-obligation initial consultation. With an office in downtown Cincinnati, Ohio, we serve clients throughout southwest Ohio and northern Kentucky.