One-time change to 72t SEPP distribution

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L1: One-time change to 72t SEPP distributionI am currently receiving SEPP monthly distributions and am 57 years old. I have been receiving these same distributions for about 4 years. Due to some inevitable bankruptcies that may occur I will no longer have the funds in my account balance to cover the existing distributions for the next 2 1/2 years. I believe I can make a one-time change to the SEPP distribution amount , which would stay in place until I reach 59 1/2. How do I go about making that change , what form/s are needed and is there anything else I need to know ? Thanks. Vincent2008-11-15 13:59, By: Vince, IP: []
L2: One-time change to 72t SEPP distributionYou can make the change to the RMD method effective January 1, 2009 by simply distributing in 2009 the exact amount the RMD method calls for. Tell your IRA Custodian what you are doing, particularly if they have been providing you with the exception code on your 1099R in the past. Make totally sure you understand how to correctly compute the RMD distribution. Use the 12/31/2008 account balance for 2009 and the 12/31/2009 balance for 2010. With respect to the bankruptcies, if you sell the shares of the bankrupt companies or they are declared worthless, and your account is drained, you have not busted your plan. Not enough is known here about your overall situation, whether the RMD method will provide you with enough funding or not. But if you drain the account and have other IRAs outside the current SEPP and have to start another plan prior to age 59.5, it will have to run for 5 years. The best strategy probably depends on what other assets you have, either IRAs or taxable accounts so you have a plan if the current SEPP IRAs either run dry OR if the RMD method does not provide you with enough funds to live on.2008-11-15 22:47, By: Alan S., IP: []