To receive funds from your self-directed IRA without penalty, you must reach the age of 59 ½ (the Roth IRA also requires that the account has been open for at least five years).
Traditional IRA, SEP, SIMPLE, and Solo 401(k) account holders must begin taking required minimum distributions (RMD) from their accounts beginning April 1st of the following year after reaching age 70 ½.
RMD is calculated using a special formula relating to life expectancy; please consult with IRS Publication 590 and/or a tax consultant. RMDs are calculated for each account, which means if you have multiple accounts you are required to take distributions from each account.
You can generally withdraw funds from a Traditional or Roth IRA without penalty at any time after you have attained the age of 59 ½. If you decided to withdraw money from your Traditional or Roth IRA account prior to reaching age 59 ½ you will be subject to a 10% early distribution penalty tax (with the Roth IRA, you can withdraw any contribution as long as it has been in the account for 5 years).
Yes, there are several exceptions to the 10% early distribution penalty tax. Among the exceptions recognized under the Internal Revenue Code are the distributions due to the following events: