Required Minimum Withdrawals

As an example, if I have $100,000 invested in an IRA annuity and $200,000 invested in a traditional IRA mutual funds at the end of a year, can I take the IRS required minimum withdrawals (RMW’s) for the entire $300,000 from the traditional IRA or is the annuity a separate category requiring an RMW from that account? Thank you



As long as the annuity has not been annuitized, you can aggregate your RMD in any combination between the two accounts. After annuitization, the periodic distributions from the annuity will satisfy the annuity RMD, and the other IRA RMD will be calculated in the usual manner and have to be distributed from the non annuity IRA. For the same year that annuitization takes place, there still was a prior year end balance for both of them, so the RMD could be aggregated in that year for the last time.

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