balance calculation

L1: balance calculationWe are going to be consolidating one 401(k) and a qualified retirement plan annuity into a Rollover IRA. Once consolidated, we plan on initiating the 72(t). My question is what balance do I use to make the calculation? The IRS seems to believe I can use the first statement balance as long as I document the calculation and balance thouroughly (which I plan on anyway), but the person I spoke with was not real confident. Any advice would be appreciated. 2005-02-24 13:44, By: advisor, IP: [206.100.223.152]
L2: balance calculationHello advisor:
I like the idea of waiting to value until all of the assets are in the IRA. Then, I would value using any day you like given that in this environment most folks can value their accounts daily by going to the brokerage website. 1st statement after all of the assets are in the account is just as good, if not better.
TheBadger
wjstecker@wispertel.net
2005-02-24 13:58, By: TheBadger, IP: [66.250.23.21]

L2: balance calculationI believe that by waiting to get all assets into one account you avoid a possible complaint by the IRS that you may be “data mining” to manipulate the SEPPdistribution amount. If you took the value of the K-plan on June 30, 04 then the Qual-plan on October 31, 04,and completed the rollover April 1, 2005, this could seem “unreasonable” and open you to question by The Service because the account values on these dates would be all over the place.
Just a thought.
Jim2005-02-24 14:27, By: Jim, IP: [70.184.1.35]