Which of the following scenarios regarding individual retirement accounts (IRAs) is NOT correct?

A) Walter is 60. He may take a distribution from his traditional IRA without having to worry about an early withdrawal penalty.
B) Peter is currently employed, but his spouse, Karina, is not. Since Karina has no earned income that she can contribute to a traditional IRA, Peter can set up a joint IRA account for the two of them.
C) Ben, age 72, has a traditional IR If he does not take at least the minimum required distribution for the current year, a 50% excise tax will be assessed on the amount that should have been withdrawn.
D) June has accumulated $30,000 in her traditional IR At age 55, she withdraws $2,500 to take a vacation. She will have to include the $2,500 in her taxable income for the year and pay a $250 penalty.

Answer: B) Peter is currently employed, but his spouse, Karina, is not. Since Karina has no earned income that she can contribute to a traditional IRA, Peter can set up a joint IRA account for the two of them.