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Investing/Strategies / Retirement Investing
|Subject: Re: Substantially equal periodic payouts||Date: 3/10/1999 9:22 AM|
|Author: TheBadger||Number: 9024 of 77227|
Facts: both my wife and I turn 55 in 2000. I in feb, she in Oct. We want to use the Joint life expectancy division factor for the periodic payouts.
I would ask the question why? You can also use the "amortization" & "annuity" methods which may yield results that better suit your needs.
Q1.To determine the numerator of the calculation, do I use the total value of all my IRAs(both deductable and non-deductable, but not my Roth) as of Dec 31, 1999?
A1. You have a variety of choices; you could use a total as you describe or you can fracture some of your accounts and use a lesser number. Further, you can valuate as of 12/31/99 or any other date (typically a month-end) that preceeds the commencement of SEPP's.
Q2.Do I wait until my wife's birthday in Oct before I can determine the joint life factor for 55/55 and use it as the denominator in determining the 2000 payout?
A2. For you purposes of computation, you would compute both of your ages as of 12/31/2000.
Q3. If I take money out of any IRA before her birthday but after mine, do I use the 55/54 life factor?
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