Atlanta Buckhead Midtown: Beware - IRS RMD Changes Now In Effect

By
Real Estate Broker/Owner with Atlanta Homes ODAT Realty - Love our Great City - Love our Clients! Buckhead - Midtown - Westside

Atlanta Buckhead Midtown:
Beware - IRS RMD Changes
Now In Effect

 

In Atlanta, whether you are in Buckhead, Midtown, the Westside or elsewhere, the RMD calculations from the IRS have changed. Each of us need to review how those changes may effect us. Or, perhaps no effect at all!

Ah- ha - what is an RMD anyway? An RMD is the minimum amount of money you must withdraw from an IRA or employer-sponsored retirement accounts such as 401(k) and 403(b), known as a tax-deferred retirement plans, on which you will pay ordinary income taxes after you reach a certain age.  (Not Roth IRAs.)

Disclosure: I am not an accountant nor attorney. Check with yours.

First, new Tables for Mortality have been adopted by the IRS. 

Second, before the 2020 implementation of the SECURE Act, RMDs became a requirement once a person hit age 70½. Since the new SECURE Act, RMD's enter the scene at age 72.

Third, if you are a Beneficiary of an inherited account and taking RMD's, you will have a one-time chance to adjust based on the new Life Expectancy Tables.

And, fourth, if you can understand the IRS document explaining the changes without assistance, buy yourself a delicious ice cream sundae. 

Planning for retirement is critical for all of us! Good luck. 

Disclosure: I am not an accountant nor attorney. Check with yours.

Comments (3)

Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good morning Lynn. There comes a time when you have to ante up! Make sure you do it correctly. Enjoy your day.

Jan 24, 2022 05:39 AM
Lynn B. Friedman CRS Atlanta, GA 404-939-2727

Wayne Martin 
Yes, by having an accountant do the reports, I know it will be right!
Enjoy your day - Lynn

Jan 24, 2022 08:28 AM
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

Oh my heavens, Lynn B. Friedman CRS Atlanta, GA 404-939-2727 

Life expectancy tables ... this is why I have professionals to help guide me. 

Thank you for getting the word out to people! 

Jan 24, 2022 08:16 AM
Lynn B. Friedman CRS Atlanta, GA 404-939-2727

Kathleen Daniels, Probate & Trust Specialist
Exactly my goal - a heads-up about a change in the RMD this year!
Enjoy your day - Lynn

Jan 24, 2022 08:30 AM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Lynn the RMD is something that will be applying to me very soon, and will be a discussion with my Accountant this year.

Jan 24, 2022 10:26 AM
Lynn B. Friedman CRS Atlanta, GA 404-939-2727

George Souto 
Time flies - doesn't it?  Always best to be prepared.
Hopefully, reading this post will get some youngsters in their 60's to discuss investing strategies with their accountants!
Stay warm up there - Lynn

Jan 24, 2022 06:53 PM