Change from Fixed Amort to RMD Method

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L1: Change from Fixed Amort to RMD Method I am going to switch from the “fixed amortizatlon method”to the “required minimum distribution method” in early December. I have been using thefixed amortizaion method since 2003 at which time I was 46.Thelife expectancy I used for that calcuatlion 37.9 years from “Table 1- Single Life Expectancy.” Am I required to use a particular Life Expectancy Table to calculate the RMD amount or can I choose among Tables 1 ( Single), 2(Joint) and 3(Uniform)? If I must use a particular table, which one is it? I am unmarried. I have abeneficiary. I have all the facts I need to make the calculation, but I am hung up on which table to use. Thanks for any help and the help you have given me in the past. Need Help 2009-10-28 21:41, By: Need Help, IP: []
L2: Change from Fixed Amort to RMD MethodYou can use any of the tables publishedby the IRS in Pub. 590 for Minimum distributions or you can use the calculator on this site.With that said, it is probably too late to make the switch in 2009 as you have probably already taken more than calculated by the MD method. Start by using the balance as of 12/31/2008 and you age for thecurrent year and do the calculation. If you have already taken more than that amount, youshould probably wait until 2010 to make the switch.2009-10-28 22:22, By: Gfw, IP: []

L3: Change from Fixed Amort to RMD MethodGfw is correct that it is most likely too late to make the switch in 2009.But even considering a 2010 switch,you still have 7 years to go with your SEPP, and 13 years of penalties and interest will ultimately be at risk. You should be very careful depressing your distribution too much as it may become inadequate to live on over that period. While your year end account balance may be higher on 12/31/09 than it was on 12/31/08, we seem to be subject to massive fluctuations in asset values at present, and that will subject your annual distribution to these fluctuations unless you maintain a very conservative investment portfolio. And that said, even bonds at this point present risks because interest rates can only go in one direction from here, ie UP. 2009-10-28 23:09, By: Alan S., IP: []