SEP distributions from a rollover IRA

L1: SEP distributions from a rollover IRA
Hi,
I have two IRA accounts that were rolled over from a 401k about 5 years ago. The custodians of these accounts are well known brokerage firms. I am 54 years old, and currently have no other source of income.
Questions:

Can I set up SEP distributions on these type of IRA accounts?
Does a separate SEP distribution need to be set up on each account?
Which calculator on this site should I used to determine the annual amounts? Does the calculator work even though these are simple IRA accounts?
Is the calculator accurate enough to use the numbers when I set up the SEP, or is it just for general planning purposes?

Thank you.

2012-01-10 00:48, By: Scott Bar, IP: [204.96.170.173]

L2: SEP distributions from a rollover IRACan I set up SEP distributions on these type of IRA accounts? — YES Does a separate SEP distribution need to be set up on each account? — NO, YOU CAN USE BOTH EITHER AS PART OF A SINGLE SEPP 72T, OR YOU CAN SET UP 2 SEPARATE SEPP ACCOUNTS. IF YOU DO
SOME PLANNING, YOU COULD TAKE AN ANNUAL DISTRIBUTION FROM ONE ACCOUNT NOW, OR AT ANY TIME. OR CUMULATIVELY BY THE END OF THE YEAR, WHILE WAITING UNTIL LATER IN THE YEAR TO START DISTRIBUTIONS FROM THE OTHER PLAN ON A MONTHLY, QUARTERLY, OR LATE IN THE YEAR
A FULL ANNUAL DISTRIBUTION IF NEEDED, DEPENDING UPON THE AMOUNTS AND TAX CONSEQUENCES. Which calculator on this site should I used to determine the annual amounts? — USE THE “REVERSE CALCULATOR ” TO DETERMINE HOW MUCH TO PUT IN 1 OR MORE IRA ACCOUNTS AS
THE SEPP UNIVERSE(S). IF YOU HAVE LARGE ENOUGH ACCOUNTS, YOU MIGHT WANT TO SET ASIDE SOME ” EXCESS” MONEY IN A 3RD IRA FOR EMERGENCY PURPOSES SO AS NOT TO TAKE A CHANCE OF BUSTING 1 OR BOTH PLANS BEFORE YOU ARE 59 1/2. Does the calculator work even though
these are simple IRA accounts? — YES, ANY IRA ACCOUNTS. Is the calculator accurate enough to use the numbers when I set up the SEP, or is it just for general planning purposes? — IT IS 100% ACCURATE. I suggest that you get and study the book available from
the website so that you will get a better understanding of this complex area.2012-01-10 02:11, By: dlzallestaxes, IP: [96.227.217.194]

L3: SEP distributions from a rollover IRA
Thanks for that information. I’ll take some time to consider what you say, and get back if I have further questions.
2012-01-10 02:28, By: Scott Bar, IP: [204.96.170.173]