I hope all is well in the MMM forums--been a while since I posted, but always lurking!
Question for the retirement, tax, and strategic pros here.
I have about $40k in a ROTH IRA that I started in 2013. I've been maxing it out every year, so if you do the math, the returns haven't been great. It was opened up through a Dave Ramsey ELP, which has quite high fees, and not the greatest invesments.
I'm in the midst of a large shift in my current job, which will increase my income well above the MAGI single limit of $139,000 to qualify (also under 50). This bump was not expected, so I have some questions:
1) I've already put $3,000 in the year (with another $500 coming out in 2 weeks)--should I stop all contributions immediately?
2) What will this cost me at tax time?
3) I was looking to leverage about $50,000 for a real estate investment--was going to borrower it from my traditional 401k, but should I just withdrawal the funds from the ROTH IRA and close the account?
4) If I withdawal the funds, can I take it all out tax & penalty free, or is it just the contributions? Not that it matters, as there hasn't been much growth anyway.
It's important to note I likely won't fall below the ROTH IRA contribution level in at least the next several years. I have enough other investments that taking this out won't materially change my long-term FIRE/retirement plan.
Any other tips for me?
Thanks in advance!