Hello:
Have turned 70-1/2, and I guess it is now time to concern myself with the mandatory withdrawl of funds from my traditional IRA that I started so very long ago.
I realize that I will be owing taxes on the amounts withdrawn each year.
But, I'm not too sharp with this stuff anymore.
Is there any way around the tax bite ?
e.g., another type of roll over, or...
Thanks, B.
Theres a new law that bypasses taxes if you contribute the withdrawal directly to charity. The law ends this year and is limited to 100K. It also doesnt affect your medicare premium which now depends on income.
(But I am guessing you wanted an answer that both reduces tax and allows to keep the withdrawal.)
For people pondering when to withdraw their IRAs they might keep their eye open for the increasing trend to means-test senior benefits like SS and medicare. Later withdrawals have larger manadotory minimums and could make the means-testing more onerous.
Well there is at least one, which I am quite sure you are not keen on: dying. In which case your heirs can set up a stretch IRA in their own names and delay the taxation.
BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.