Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (2) | Ignore Thread Prev Thread | Next Thread
Author: jlrob Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 19371  
Subject: IRA/ Keogh Date: 2/29/2000 3:29 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
I am retired an taking minimun distributions. Am I locked into benificiaries and converting to Roth? Can you reccomend a publication. Please reply to jlrob@webtv.net.
Print the post Back To Top
Author: TMFPixy Big gold star, 5000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 2629 of 19371
Subject: Re: IRA/ Keogh Date: 2/29/2000 6:10 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Greetings, Jlrob, and welcome. You asked:

<<I am retired an taking minimun distributions. Am I locked into benificiaries and converting to Roth? Can you reccomend a publication.>>

If you are age 70 1/2 and are taking mandatory minimum required distributions (MRD) from an IRA, then you are locked into the method you chose for the MRD. If that method involved using the joint life expectancy of you and a beneficiary, then you are also locked into the use of the life expectancy of that beneficiary. You may still change the beneficiary, but you cannot use the new beneficiary's life expectancy for your MRD calculation in future withdrawals.

You may also convert your IRA to a Roth IRA provided you meet the adjusted gross income level for doing so. BUT -- You must take and be taxed on the MRD in the year you convert. The MRD may not be transferred to the Roth. After you have taken the year's MRD, you may then convert what's left in the IRA to a Roth IRA.

IRS Publication 590 (Individual Retirement Arrangements) is the publication that governs MRD and conversions. You can download it at http://irs.gov.

Regards..Pixy


Print the post Back To Top
UnThreaded | Threaded | Whole Thread (2) | Ignore Thread Prev Thread | Next Thread
Advertisement