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IRA Rollover penalties?

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Bychaseisaac32

L1: IRA Rollover penalties?My father has an existing traditional IRA that has the (72t) that he started in August 2014. He started taking distribution 8/25/14 – The distribution amount is $3,000 monthly. He started the IRA with $356,000. His birthday is 7/25/1958.
The question I have is in his IRA he moved his funds out of a Mutual fund and put into a money market back in November so it has just been sitting. The value now of his IRA is $264,000. What he wants to do now is roll his IRA to a brokerage firm to manage it himself. Will the 72t automatically roll with the IRA and would he possibly have any penalties for doing this? Also could he change the distribution amount without being penalized? He doesnt necisarrily want to change the distribution amount but has been wondering if he can. From what i have read it looks like once it was set up he cannot change that amount. Please advise if I read wrong. This is new to me and he is irrational sometimes and dont want him to make a bad decision that could cost him more $$….I appreciate any help
Chase2016-01-14 19:40, By: chaseisaac32, IP: [64.58.144.135]

L2: IRA Rollover penalties?Chase, a 72t plan can be transferred to a new custodian and the plan continued.
However, your father may not even have a valid plan. With an initial balance of 356k, there is no approved IRS calculation method that will generate a distribution anywhere near 36k annually. That is over double what the fixed distribution methods would generate. An exact even number like 3k per month also suggests that this was just a convenient figure, perhaps the amount of money he expected to need and maybe a calculation was not even completed. So unless the info you posted turns out to be incorrect,his plan never was valid.
Do you know who or how this calculation was done? Is there a record of the calculation components you can access? Is there any chance that he has an additional IRA account with a similar balance which was included in the initial account balance?2016-01-15 01:39, By: Alan S, IP: [160.3.87.235]

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