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Joint calculation

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ByBill

L1: Joint calculationQuestion – what is the impact of choosing a Joint Calculation? Is there IRS guidance that dictates or is it a matter of choice? What would/should drive my choice? Thanks in advance.2006-12-11 19:43, By: Bill, IP: [69.142.124.110]
L2: Joint calculationWhat do you mean by “joint calculation” ? If like a joint tax return, I don”t believe that is allowed. Each SEPP 72-T is tied to a specific set of TRADITIONAL IRA ACCOUNTS of a single individual, and the calculation is based upon several factors related to his/her accounts, and his/her age. There is no provision for spouses (or other persons) to be included in the calculation.
There might be a possibility if the spouse is more than 10 years younger, like IRAs, but I doubt it.2006-12-11 20:17, By: dlzallestaxes, IP: [4.175.9.66]

L2: Joint calculationJoint calculations use the joint life expectancy of the owner and beneficiary or can be based on the Uniform table. It is purely a matter of choice and will always result in lower distributions from the SEPP plan.

A better alternative, rather than joint calculations, if you are looking for lower distributions is to use individual calculations and only allocate sufficient funds to the plan to fund the desired annual distribution.

Joint calculations have been the subject of a variety of past PLRs. In addition, they are authorized in Rev. Rul. 2002-62, Section 2.02(a) and Section 2.02(b). 2006-12-12 03:55, By: Gfw, IP: [24.148.85.129]

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