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I am 41 yrs old born (08/24/1978). Will like to start taking Sepp on set 2019.
IRA balance use 7/31/2019 since is the higher statement balance for the year usd 197.420
Divorced with 2 doughters oldest 9 yrs (both beneficiaries)
will like to max sepp and the calc is form 7575/yr.
I used july rate of 2,50%.
I am a non resident alien, I think this doesnt matter but just in case.
Please advice, if my clacs and considerations are correct
Hi Ivo251900, I received the same result of $7,574.55 using the information you provided in 72tNET.com SEPP Distribution calculator (with a single life distribution factor of 42.7 and Amoritization Method). And I confirmed these results with the CalcXML and BankRate.com calculators. Before you begin the 72t though, please consider other options to earn an additional $20 per day ($7,575/365). Once you start the 72t, you will need to continue for more than 18 years, until you are 59 1/2. This will leave you with $130,000 to retire on by age 60, according to the BankRate calculator ( https://www.bankrate.com/calculators/retirement/72-t-distribution-calculator.aspx ). Let me know if there is more I can help with.
You have a unique situation as a non-resident alien with an IRA. Separate from the tax aspects, you should talk to a tax or estate attorney about setting up one or separate trusts as beneficiaries for your IRA in case you die before they reach majority (18 or 21), and appoint a trusted trustee to handle the Trust(s) on your behalf for them. Then send this legal document to the financial institution where your IRA is located.