Multiple IRA’s for 72T
L1: Multiple IRA’s for 72TI turn 57 in May of this year and due to my business being slow I am looking to set up 72t distributions to get some income.I have multiple IRA’s with different companies some CD’s, Annuities, and MM accounts.if I want distributions based on all my account values, do I have to set each one up at the various companies that hold the IRA’s or can I set one up based on all the values and take out of one IRA?2010-04-14 16:00, By: Nate, IP: [126.96.36.199]
L2: Multiple IRA’s for 72TAt age 57, I would use a SEPP plan as a last resort – remember that it must last without any change for 5 years or 365 x 5 +2 days.
Can you combine all into your SEPP universe? Probably. If they are all traditional IRA accounts, the answer is yes, but be sure that you define your SEPP universe to include all the accounts. The calculated distribution must be based on the total account value included.
Perhaps a better approach would be to define the amount of income that you need and then use the reverse calculator to determine how much to include in your SEPP plan. If you keep some of the funds outside the SEPP, you will have funds to use in an emergency without busting the SEPP.
And if you do use funds from multiple sources, plan on completing a 5329 to claim the exemption – you probably won’t get an exemption coded on your 1099.
Also cehck out our Planning Pointers2010-04-14 17:23, By: gfw, IP: [188.8.131.52]