You can avoid an early retirement penalty if you use the funds from an American Gold IRA to pay for unreimbursed medical expenses that exceed 7.5% of your adjusted gross income (AGI). Generally, early withdrawal from an individual retirement account (IRA) before age 59 and a half is subject to inclusion in gross income plus an additional 10 percent tax penalty. There are exceptions to the 10 percent penalty, such as using funds from an American Gold IRA to pay your health insurance premium after you lose your job. For more information, see Difficulties, Early Withdrawals and Loans. The IRS allows penalty-free withdrawals before age 59 and a half for special and equal periodic payments (SEPP).
Under these plans, you can make a regular annual distribution for five years or until you turn 59 and a half years old, whichever comes later. Contributions to a Roth IRA can be withdrawn at any time and the profits will not incur penalties or taxes (if the Roth IRA has existed for five years).