Retirement & Moving Back to India

What happens to my US retirement savings if I move back to India?

Quick answer

Your 401(k) and IRA stay yours. Withdrawals before age 59½ generally cost an extra 10% tax on top of income tax, so most people leave the money invested or roll it to an IRA, and plan withdrawals with both countries’ tax rules in mind.

401(k) and IRA: What Happens If You Move Back to India

You keep your 401(k) and IRA when you move to India. Most people leave the money invested or roll the 401(k) into an IRA, because withdrawals before age 59½ generally…

3 min read · Updated November 7, 2026

401(k) and IRA: What Happens If You Move Back to India

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