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Stopping SEPP withdrawals from IRA

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Bypesla5439

L1: Stopping SEPP withdrawals from IRAI started making withdrawals in 2007. Took another in 2008. I’m now 56 y/o (as of 12/2008). With the serious hit that my IRA took in 2008, and the fact that the financial crisis that prompted me to begin the SEPP has passed, what would be the implication of stopping my SEPP altogether. Assuming that the value of my IRA will likely recover over the next 4 years, and the fact that the payments are based on the 2007 value, wouldn’t I be better off taking the hit and stop making withdrawals?2009-01-28 14:04, By: pesla5439, IP: [66.219.172.67]
L2: Stopping SEPP withdrawals from IRAIt’s very possible that your best solution is to stop distributions, pay the penalties and interest on your two previous withdrawals, and wait for your account to recover. But in order to have a definitive answer you will need to “run the numbers” to determine your cost to “bust the plan.” Jim2009-01-28 15:24, By: Jim, IP: [70.167.81.119]

L2: Stopping SEPP withdrawals from IRAGood suggestion from Jim. You may also wantto run the numbers on switching to the MD method for 2009 and later.2009-01-28 15:48, By: gfw, IP: [216.80.125.206]

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