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do multiple iras require multiple sepp payouts

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Bypatrick

L1: do multiple iras require multiple sepp payoutsI have multiple iras and last january decided to start taking out $40,0000/year in SEPP payouts. The total value of my iras on dec 31 2003 was more than enough to support this payout; however, I took the entire $40,000 out of a single ira which had about $250,000 thinking that this was OK.
After reading the material on this site, I’m beginning to fear that this was not the right way to go; that instead I should have taken a small piece from each ira based on the balance within that ira. Is this true? If so, what are my options?Do I just treat this as a premature withdrawal and getstuck with a $4,000 penalty?2004-04-14 13:16, By: patrick, IP: [216.12.43.26]

L2: do multiple iras require multiple sepp payoutsYou have no problem. If the total of all IRA accounts were used in the calculation, then you take the annual distribution form one account or from multiple accounts – just as long as you take the calculated distribution – no more and no less.
What has been discussed is setting up multiple SEPP plans and then taking the designated payment from each of the SEPPs. In the future, based on changing needs, one could then be terminated or converted to the MD method without impacting the other plans.
2004-04-14 13:22, By: Gfw, IP: [172.16.1.72]

L2: do multiple iras require multiple sepp payoutsJust a quick question. If the calculation….annuitization for instance says I have to take say $22,000 out of the SEPP IRA, can I take $21,000? Do I have to tkae the EXACT amount or is the 120% just a ceiling?2004-04-15 14:08, By: JAG, IP: [172.136.27.33]

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