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View Full Version : Can ira be garnished if it is the only source of income


noura1
Feb 2, 2010, 01:34 PM
I am 68 years old and I lost my job with $200,000 in my IRA rolled over from my 103B and I don't have social security and no other income. I have $20,000 credit card debt. Can they garnish my only source of income, my IRA

ebaines
Feb 2, 2010, 03:51 PM
This depends on your state law. In general, if you declare bankruptcy your qualified retirement plans like 401(k)'s, and rollover IRAs established with funds from a qualified retirement plan are protected from creditors (except for the IRS), and traditional IRAs are protected up to $1M. If you have not declared bankruptcy, then state law determines whether your IRA is protected.