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New Req'd Minimum Distr RMD from IRA age is 72 years old, not 70 and a half. (Original Post) JustABozoOnThisBus Jan 2020 OP
Appreciated. I need to finally meet with a local branch. sprinkleeninow Jan 2020 #1
"in person" you'll get whatever that person knows. JustABozoOnThisBus Jan 2020 #5
I need to bring in plan rules for two 401Ks and go over them with an agent in person. sprinkleeninow Jan 2020 #10
Yeah, if you inherit a 401k or IRA, the rules are complicated, ... JustABozoOnThisBus Jan 2020 #11
Thank you for good thoughts. The typos took months to correct. sprinkleeninow Jan 2020 #12
Thanks for posting this. I've been wondering about it. n/t Tess49 Jan 2020 #2
Only if you turn 70 and a half on January 1st or later. If you turned 70 and a half in 2019 still_one Jan 2020 #3
If you turned 70.5 in 2019, you had to take a RMD in 2019, JustABozoOnThisBus Jan 2020 #4
............. still_one Jan 2020 #6
I started withdrawing at 65. The point of the IRA doc03 Jan 2020 #7
Well, I agree. ret5hd Jan 2020 #8
If you wind up needing a nursing home, marybourg Jan 2020 #9
Excellent point. PoindexterOglethorpe Jan 2020 #13

sprinkleeninow

(20,544 posts)
1. Appreciated. I need to finally meet with a local branch.
Sun Jan 12, 2020, 03:57 PM
Jan 2020

Calling the investment co. by phone you get numerous variations of how plan rules work.

I want eye to eye, up front and in person answers.

JustABozoOnThisBus

(23,748 posts)
5. "in person" you'll get whatever that person knows.
Sun Jan 12, 2020, 04:11 PM
Jan 2020

It's still early in the year, so maybe the impact and timing of the so-called "SECURE" bill is being interpreted by investment house execs, and has not yet been explained to the branch advisors.

sprinkleeninow

(20,544 posts)
10. I need to bring in plan rules for two 401Ks and go over them with an agent in person.
Sun Jan 12, 2020, 05:37 PM
Jan 2020

I called the investment co. by phone numerous times and got different versions of when I need to take MDRs. Another thing I first need to do is move these to an IRA out of the 401 accounts. Received as beneficiary and can't leave them in 401 status forever.

Both accounts had typos and it was nerve wracking to straighten them out months on end.

JustABozoOnThisBus

(23,748 posts)
11. Yeah, if you inherit a 401k or IRA, the rules are complicated, ...
Sun Jan 12, 2020, 06:11 PM
Jan 2020

... depending on the relationship, ages, etc.

The new law in the OP mentions changes in inherited IRAs. This area didn't affect me, so I didn't research the impact. Apparently, "Stretch IRAs" (whatever they were) are eliminated, and inherited IRAs have to be completely distributed within a fairly short (5 or 10 years?) span.

Good luck, especially with typos


sprinkleeninow

(20,544 posts)
12. Thank you for good thoughts. The typos took months to correct.
Sun Jan 12, 2020, 08:45 PM
Jan 2020

This is what crooks do to 'innocent' people by their fraud and criminal ways. I had to give the sun, moon and stars plus my first born and other identifiers to 'prove ' I was who I claimed to be.

One account I have till April to do 'something' with, the other I have until the end of 2020. Gonna work on it very soon. Read some peoples' experiences on the google--weren't aware of rules and got penalized 50% bc they dint attend to accounts in a timely manner.

Best to you also dealing with this!

still_one

(96,436 posts)
3. Only if you turn 70 and a half on January 1st or later. If you turned 70 and a half in 2019
Sun Jan 12, 2020, 04:02 PM
Jan 2020

you are required to take the RMD in 2020

JustABozoOnThisBus

(23,748 posts)
4. If you turned 70.5 in 2019, you had to take a RMD in 2019,
Sun Jan 12, 2020, 04:08 PM
Jan 2020

but for the first RMD year, they give you until Apr the following year. That would mean you take two RMDs the following year, one for 2019 and one for 2020.

I think.

still_one

(96,436 posts)
6. .............
Sun Jan 12, 2020, 04:17 PM
Jan 2020

Required minimum distributions (RMDs) now begin at age 72
Americans are working longer and will no longer be required to withdraw assets from IRAs and 401(k)s at age 70½.
RMDs now begin at age 72 for individuals who turn 70½ in the calendar year 2020.
If you turned age 70½ in 2019 and have already begun taking your RMDs, you should generally continue to take your RMDs. The IRS may provide further guidance on this point, so you might want to speak with your tax advisor regarding any 2020 distributions.

To calculate the RMD you need to know the value of the retirement account on Dec 31st of the previous year to calculated the RMD


https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-required-minimum-distributions-rmds

Thanks for the correction



doc03

(36,623 posts)
7. I started withdrawing at 65. The point of the IRA
Sun Jan 12, 2020, 04:24 PM
Jan 2020

was for a retirement income not a tax shelter for your heirs. (Individual Retirement Account) Chances are if you don't spend it and enjoy retirement a damn nursing home or hospital will get it before you die anyway. Not arguing just the way I see it.

marybourg

(13,173 posts)
9. If you wind up needing a nursing home,
Sun Jan 12, 2020, 05:03 PM
Jan 2020

the nursing home is going to get money for your care; they don’t work for free. The choice is actually between your having some money to pay for your own care, at least for a while, and getting to choose a slighter more comfortable nursing home, or to take whatever Medicaid bed is available.

PoindexterOglethorpe

(26,666 posts)
13. Excellent point.
Sat Jan 18, 2020, 06:47 AM
Jan 2020

While it is nice to leave something to our heirs, we are not obligated to do so. And we certainly want to take care of ourselves first.

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