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.
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