If You’re 70½, It’s Time to Take Money From Your Retirement Account
- 6 years ago
If You’re 70½, It’s Time to Take Money From Your Retirement Account
This year, it’s more important than usual not to procrastinate, Ms. Cassidy noted,
because Dec. 31 falls on a weekend, meaning the last day to take an annual required minimum distribution, or R.
For many people, an important financial task looms amid December holiday celebrations:
taking required withdrawals from retirement accounts by the end of the year.
After savers turn 70½, they typically must begin taking required minimum distributions
each year from their individual retirement accounts and 401(k)’s.
As long as the money — up to $100,000 — goes directly to the charitable organization, you’ll avoid paying
income taxes on it (although you can’t claim a tax deduction for the gift), Ms. Cassidy said.
This year, it’s more important than usual not to procrastinate, Ms. Cassidy noted,
because Dec. 31 falls on a weekend, meaning the last day to take an annual required minimum distribution, or R.
For many people, an important financial task looms amid December holiday celebrations:
taking required withdrawals from retirement accounts by the end of the year.
After savers turn 70½, they typically must begin taking required minimum distributions
each year from their individual retirement accounts and 401(k)’s.
As long as the money — up to $100,000 — goes directly to the charitable organization, you’ll avoid paying
income taxes on it (although you can’t claim a tax deduction for the gift), Ms. Cassidy said.