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Hello. First of all, thank you for continuing this site and making it so robust!
I just wanted to make sure my numbers are correct:
- Date of Birth: 6/12/67
- 72t Method: Amortization
- 72t Distribution Start Date: 02/01/2020
- Life Table Used: Single life
- Stub Year (Y/N):
- Annual Recalc (Y/N): No
- AFR Rate: 2.03% (January 2020 IRS Site)
- Account Balance(s): $ 468,546.65
My calculations show that an annual amount I am able to withdraw will be $19,920. I plan to take this until I'm 60.
Do you also get this amount?
I forgot to add that I'm using my year end statement 12/31/19 balance. I believe that is the stub year?
Manually computing the amount using the amortization formula , I get the annual amount to be $19,919.51 rounded to the nearest cent. 2020 will be a stub year, so you can either withdraw the full annual amount or a prorated amount for 2020 of of $18,259.55 (11/12 of the annual amount).
If you decide to withdraw monthly instead of annual, the amount would be fixed at $1,659.96 per month (1/12 of the annual amount) beginning 02/01/2020.
Earliest potential modification date is 12/13/2026 (age 59 1/2 attainment).
Thank you for the quick responses. Could you confirm that if I used 2.0% instead of 2.03% that is allowed? I believe it is because it is lower than January's AFR rate of 2.03%. As an aside, we did a previous 72t last year on another account, so this new one will be used for additional living expenses so if we clear $19,000 from this account, we will be great. We have additional accounts for emergencies as well as another separate IRA.