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SEPP DISTRIBUTION THE YEAR TURNING 59 1/2

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ByJet

L1: SEPP DISTRIBUTION THE YEAR TURNING 59 1/2I retiredon February 1, 2001 at age49 and began taking quarterly SEPP payments from my IRA in April 2001. I will turn 59 1/2 on March 1, 2011 and my question is doI have to take SEPP distributions at all in 2011 or doI take distribution for only the first quarter in 2011.I am not clear on whatI need to do to insureI follow theIRS rules.2011-02-07 20:11, By: JET, IP: [99.92.245.84]
L2: SEPP DISTRIBUTION THE YEAR TURNING 59 1/2Unfortuneately, the IRS does not publish clear rules for many aspects of 72t plans and stub year options are one of them.It is the consensus of regulars on this board that in your situation, having long ago completed 60 months of distributions, that you have these options in 2011:1) Distribute nothing prior to your modification date (3-1-2011)2) Distribute a pro rated figure by the month, ie 2 months worth in this case3) Distribute the full annual amount prior to the modification dateThe IRS has not questioned any of the above options.Of course, after 3/1 you can distribute as much or as little as you please since your 72t plan ended on 3/1.2011-02-07 21:46, By: Alan S., IP: [24.119.230.17]

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