Permalink Submitted by Anonymous (not verified) on Thu, 2010-03-11 00:37
Not really sure what this question means.
SEPPs are designed for those under 59 1/2 to escape the 10% penalty and lock you into distribtutions for at least 5 years. If the question is about the three calculation methods (RMD, Amortization, Annuitization) then only the “RMD method” is identical to the true RMD amount due for someone over 70 1/2. The others might satisfy the actual RMD for a couple of years, but may fall short as one gets older.
Therefore, I am not sure why SEPP and RMD would be related?
Permalink Submitted by Anonymous (not verified) on Thu, 2010-03-11 00:37
Not really sure what this question means.
SEPPs are designed for those under 59 1/2 to escape the 10% penalty and lock you into distribtutions for at least 5 years. If the question is about the three calculation methods (RMD, Amortization, Annuitization) then only the “RMD method” is identical to the true RMD amount due for someone over 70 1/2. The others might satisfy the actual RMD for a couple of years, but may fall short as one gets older.
Therefore, I am not sure why SEPP and RMD would be related?
pko