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Starting 72T

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ByJudy

L1: Starting 72TI am planning on starting a 72t distribution from my IRA this month (I will be 55 in Oct). I was planning on monthly withdrawals for 60 months which would end Aug 2010; but my financial advisor just informed me that by year end ’05, I have to have withdrawn a full 12 months distribution. He suggested receiving a 7-month withdrawal at the end of the year. I would then receive 4 years on a monthly basis. Is this correct? Thanks2005-08-01 10:57, By: Judy, IP: [24.147.108.69]
L2: Starting 72TWrong!
But TheBadger has a more eloquent and detailed explanation so I’ll yield to him.
Jim2005-08-01 11:28, By: Jim, IP: [70.184.1.35]

L2: Starting 72TYou may (but you don’t have to) take an annual distribution for the current year. Start by using our last “Last Payment Date” calculator. My initial guess is that you will be looking more closely at the 5-Year rule rather than age 59.5, but the calculator will shed some light.
Just remember – the SEPP starts on the day the first payment is made, not when the plan is implemented or adopted.
2005-08-01 11:41, By: Gfw, IP: [172.16.1.71]

L2: Starting 72TThank you very much. The calculator showed 8/2010 as the final pmt date. As my financial advisor works for alarge firm, I’m a little concerned he’s given me inaccurate information which he verified with his tax dept. I’d rather have the 60 pmts. Judy2005-08-01 12:15, By: Judy, IP: [24.147.108.69]

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