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lamoe

401, Roth, etc. and being 70

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lamoe

Before I came here my financial advisor informed me I had to start making minimum withdraws from my 401's once I  turned 70 per IRS rules.

 

 

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SkyMan

Question?

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lamoe
1 minute ago, SkyMan said:

Question?

Ask.

Signed papers for min dispersal years ago when I retired and consolidated all 401's - forgot until received E-mail today reminding me.

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SkyMan
8 minutes ago, lamoe said:

Ask.

I was asking if you had a question or what the reason for the post was.  The IRS has volumes of rules and we should follow them.  I imagine most with retirement funds know the rules for them.  Or maybe you're  looking for someone to help spend the money?  And Happy Birthday!

Edited by SkyMan

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lamoe
2 minutes ago, SkyMan said:

I was asking if you had a question or what the reason for the post was.  The IRS has volumes of rules and we should follow them.  I imagine most with retirement funds know the rules for them.  Or maybe you're  looking for someone to help spend the money?

Just passing along general info in case others weren't aware or hadn't received notice.

I'd forgotten and hadn't received notification from fund administration - set up for e-mail notifications which I get regularly - adviser was checking to see why I hadn't responded to them - went through spam - there it was. Not sure why wound up there.

Another bit of advice? Go through spam once a week?

 I can spend it on Tata with much better results.:1frog:

 

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Chris24

You mentioned Roth in the topic.  Roth IRAs and Roth conversions are (arguably) one of the best deals going.  Are you considering converting apportion of your 401 balance to a Roth IRA?   My own plan involves doing that progressively in retirement, a modest amount each year.  

Edited by Chris24
editedededed for typoeseaez

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lamoe
10 hours ago, Chris24 said:

You mentioned Roth in the topic.  Roth IRAs and Roth conversions are (arguably) one of the best deals going.  Are you considering converting apportion of your 401 balance to a Roth IRA?   My own plan involves doing that progressively in retirement, a modest amount each year.  

Set up trust fund many years ago  - several companies I worked for had 401's w/ matching amount percentage 10% to 100%  folded all into one account except the Greman one - was the best  - almost 40 years ago - when was a new concept and few employees  participated - at first 100% and they matched the interest 100% also - yea - until gov investigators  said it looked like the sr officers had set it up to benefit themselves - then they discovered I owned 25% of the plan. 

I maybe silly but I ain't stupid. Put max in for as long as they let me  and didn't convert until accounting firm discovered I hadn't worked there in years. :biggrin_01:

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Chris24

Commenting on OP,  yes, you generally have to start taking required minimum distributions once you turn 70 1/2.  There are some exceptions, most notably if you have funds in a Roth 401k or Roth IRA, which have no RMDs (because the IRS has no tax revenue to gain by requiring you to start withdrawing your money).  It's important to plan ahead.  Here's a link to the IRS web site on the subject, including a worksheet on how to calculate the RMD.  

https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-required-minimum-distributions

 

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lamoe
6 minutes ago, Chris24 said:

Commenting on OP,  yes, you generally have to start taking required minimum distributions once you turn 70 1/2.  There are some exceptions, most notably if you have funds in a Roth 401k or Roth IRA, which have no RMDs (because the IRS has no tax revenue to gain by requiring you to start withdrawing your money).  It's important to plan ahead.  Here's a link to the IRS web site on the subject, including a worksheet on how to calculate the RMD.  

https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-required-minimum-distributions

 

Took care of it years ago - just forgot until advisor E-mailed me

Enjoying myself too much here I guess - just getting old or both

Edited by lamoe

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Chris24
2 hours ago, lamoe said:

Took care of it years ago - just forgot until advisor E-mailed me

Enjoying myself too much here I guess - just getting old or both

 

That's awesome and is basically the purpose of planning this stuff - - - - so you have few money worries and can focus on enjoying yourself when you retire (aka the "decumulation phase").  Enjoy! (not that you need any encouragement, just wishing you well nonetheless)

 

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