The Motley Fool Discussion Boards
Investment Analysis Clubs / Macro Economic Trends and Risks
|Subject: Re: Younger Seniors Burning thru IRAs||Date: 5/16/2013 6:10 PM|
|Author: steve203||Number: 423047 of 464871|
29 percent of people aged 61 to 70 annually pulled money out of their IRAs, EBRI said.
You are *required* to withdraw money from your IRA. Starting at age 70 1/2 an actuarial table is used to dictate how much you are *required* to withdraw each year.
The person with forsight will withdraw money before age 70 1/2 to reduce the amounts withdrawn later, to stay in a lower tax bracket.
The person with even more forsight will postpone claiming Social Security benefits, so the IRA can be drawn down more, without paying income tax on the SS benefits.
Sounds like a totally rational thing to do, and that is the plan I am following.
So....is this "report" just wall street propaganda pushing an agenda to make it harder for people to pull money from their IRA, or to force people to put more in?
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|