SEP-IRA contribution after age 70
Suppose taxpayer is self-employed, still working past age 70-1/2, makes a SEP-IRA contribution in October 2015 for calendar year 2014. Is taxpayer’s RMD for 2015 based on IRA year-end balance on 12/31/2014, or must he add to the balance the amount of the 2014 contribution in 2015 to calculate the 2015 RMD?
Thank you,
Permalink Submitted by Alan - IRA critic on Fri, 2015-01-23 17:01
He just uses the actual 2014 year end balance to calculate the 2015 RMD. He does not add the 2014 contribution to it.