meeting RMD requirement with SPIA
77 yr old has an TIRA that she has not taken RMD for 2016. She is considering putting a portion of the TIRA in a single premium immediate annuity (SPIA). Would the portion she puts in the SPIA count as her RMD for 2016?
Permalink Submitted by Alan - IRA critic on Fri, 2016-08-12 19:03
No, because she would purchase the SPIA IRA by direct transfer so there is no distribution. However, the SPIA distributions will count toward her total 2016 RMD. Starting next year, the SPIA IRA account distributions will apply only as the SPIA RMD, and other IRA accounts must meet their RMD separately. She may also want to consider a QLAC instead of the SPIA.