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SEPP Principal Balance

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Last Updated On
Bycartow

L1: SEPP Principal BalanceThank you for your great help to prior questions,
I plan totransfer my 401K into 2 IRA’s by year end and use one IRA for a SEPP tobegin somewherefrom Jan to mid March 2005. Would I use the balance as of Dec 31, 2004for calculations no matter when the SEPP begins or wouldthe balance to be useddepend on which month I begin SEPP? Could I use the end of February 2005 balance, if SEPP begins in March?
Thanks
Bob2004-12-01 00:47, By: cartow, IP: [141.152.222.198]

L2: SEPP Principal BalanceHello Bob:
The balance that you use must preceed the 1st distribution. After that, you are permitted some latitude regarding balance determination; e.g. if your 1st distribution is in 3/05, use of the 12/31/04, 1/31/05 or 2/28/05 balances would all be acceptable.
TheBadger
wjstecker@wispertel.net
2004-12-01 07:23, By: TheBadger, IP: [66.250.23.22]

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