Distribution Planning

Planning distributions from tax-advantaged accounts usually requires some assistance and design. We are experienced in this area of finance and can be very helpful to you when the time comes.

There are Required Minimum Distributions (RMD) from IRA accounts upon reaching the age of 70 ½. As a result, planning ahead for this event can be prudent. 

• Is it best to accelerate distributions before this age to lessen the tax bite?
• What is the best way to coordinate with other accounts such as a Roth IRA?
• Should you convert some or all of your IRA to a Roth?

We can help with the calculation of the RMD and determine if you should take it in cash or take an in-kind distribution. 

You can also give your RMD directly to a qualified charity of your choice and thereby avoid personal taxation on that amount.

If you have an Inherited IRA we can help you figure the correct distribution amount each year as the calculation is different from the RMD for a personal IRA.

We will also help you coordinate your distributions across accounts that may be with other advisors to help you simplify the overall process. 

For a person that is retiring before they reach age 59 ½ there is a different kind of distribution planning that can be used under rule 72(t). This must be weighed very carefully before implementing. We have experience using this rule to help our clients who retire early.

For assistance with your distribution planning contact us today.