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Correct Method for One-Time Change?

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ByMatt

L1: Correct Method for One-Time Change?I began SEPP on June 15,2002 (age 56) using monthly payments with the fixed amortization method. If I use the one-time change to the minimum distribution method on January 15, 2006 and again use monthly payments, can I make changes on June 16, 2007? At that point in time, 5 years plus one day will have elapsed and I will be age 61. However, for calendar2007, only 6 of 12 monthly payments for the minimum distribution will have been made. Does this bust the SEPP? Do I need to change from monthly payments to a single annual payment so as to avoid this problem?2005-05-01 12:22, By: Matt, IP: [64.139.180.169]
L2: Correct Method for One-Time Change?I didn’t look at all the dates, ages, etc. but the 10% penalty stops when you attain age 59 years and 183 days. 2005-05-02 16:16, By: Gfw, IP: [172.16.1.70]

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