date of annual distribution

You are here:
  • KB Home
  • date of annual distribution
< Back

L1: date of annual distributionLast year I took my first SEPP distribution on 11/29. Must I take each subsequent distribution on the same date each year or can it occur any time during the year?2010-11-01 19:55, By: jeff, IP: []
L2: date of annual distributionSEPP Plans run on “calendar year” so you may take your distribution any business day of the year, assuming you are taking the entire yearly distribution in one lump sum. You may change to monthly, quarterly, semi-annually, or any odd ball distribution pattern you and your custodian can work out.
The bottom line is the total distribution amount must be the same each year, assuming you are not using one of the “recalculation” methods.
Jim2010-11-01 20:03, By: Jim, IP: []

L2: date of annual distributionYou can take your distributions for each year at any time and at any frequency, so long as the total distribution for each year is exactly the same. ( The first calendar year you are allowed to take either a full year’s distribution or a prorated amount based upon the month of your first distribution.)2010-11-01 20:15, By: dlzallestaxes, IP: []