# 72 t periods

L1: 72 t periodsI am interested in knowing if 72t payouts are based off of the Calander year or the contract year starting from the first payout.

For example I start my 72t payouts on 9/1/08 does the 5 year period start from that point until 9/1/14 or is it figured on a calander year so all of my payouts would need to be taken by 12/31/08 instead of by 9/1/09?2008-08-27 08:54, By: jer, IP: [216.163.247.1]

L2: 72 t periodsYou can “search” on this topic. Basically, there are 2 different years, and consequences of each.

The plan period starts with the first distribution, and ends 5 years after the end of the fiscal year ending after that first date, or 59 1/2 if later.

In your example, it would be 9/1/2013, not 9/1/2014, unless your age is a factor.

In each calendar year, except the first and last, you must take the full annula distribution, regardless of the frequency or amounts of distributions during the year.

In the first calendar year, you have TWO CHOICES — take a prorated distribution of the number of months remaining in the month/12 ( i.e. Sept would be 4/12), OR take 100% of the annual distribution.2008-08-27 10:52, By: dlzallestaxes, IP: [96.245.168.21]