In the article "Why You Should Take Your 2025 RMD Now," the following caught my eye ...
“Or, maybe you are charitably inclined and looking to satisfy your RMD by doing a qualified charitable distribution (QCD). This will require the custodian to send funds directly to charity and the charity must cash the check.”
If a person under age 59½ takes a withdrawal from his IRA or workplace plan, there is a 10% early withdrawal penalty…unless an exception applies. There are currently 20 exceptions, with a 21st on the way. Here are those exceptions, with some brief commentary.
QUESTION:
I cannot find the indexed number for IRA bankruptcy protection for 2025-2028. It is $1,512,350 currently, but it is scheduled to increase on April 1, 2025. Do you know what it will be?
Here is an all-too-common situation that seems counterintuitive: A participant in a 401(k) retires and must take his required minimum distribution (RMD). This person requests that his entire 401(k) plan balance be directly rolled over to an IRA. The plan follows the participant’s direction, and the entire amount is sent to the IRA.
Hello,
If a person is turning 73 years old in March, s/he would be required to take required minimum distributions for the year. Can a person do Roth Conversion prior to turning age 73 (say in February)? Does the first money out rule still apply?
I appreciate it when reputable financial advisors fight for their clients. It is a pleasure to see a well-educated, experienced professional leave no stone unturned when it comes to helping someone through a problematic situation. Such conversations can be inspiring. “What if we try this? What if we tried that?” If a creative path to a desired outcome exists within the rules, I will diligently help the advisor map out a route while simultaneously pointing out the tripping hazards.
I opened my first Roth IRA in 2017 and a second Roth IRA in December 2021. My current age is 71. I withdrew some funds from these accounts last year. For tax year 2024, I received a 2024 Form 1099-R for the 2017 Roth IRA account with a distribution code of Q and a 1099-R for the 2021 Roth IRA with a distribution code of T. That's where the confusion is - different distribution codes.
On January 21, Ichiro Suzuki was elected to Major League Baseball’s Hall of Fame by the Baseball Writers Association of America. It takes 75% of the writer’s support to gain entry, and Ichiro was chosen on 393 out of 394 ballots.
QUESTION:
Am I correct that a non-spouse Roth IRA beneficiary does NOT have a yearly required minimum distribution (RMD) over the 10-year period?
Ken
When the “check engine” light comes on in a vehicle, most people are rightfully concerned that something is wrong. When a fire alarm blares through a building, it is wise to take stock of your surroundings. And when a member of Ed Slott’s Elite IRA Advisor GroupSM calls and says a red alert popped up on his monitor as he attempted to do a 529-to-Roth rollover, we must assess the situation.
