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http://72tnet.com This link will take you to 72tnet.com It is a great resource for everything 72t. You can post questions in the forum section there. You can also find a link to William J. Stecker’s, A Practical Guide to 72t, there. http://72tnet.com/a-practical-guide-to-sepps/

You are correct. Mid term rate, life expectancy, and account balance must be recalculated every year. Account balance and mid term rate should be calculated at the same time each year. Also note that your age used for determining life expectancy should be the highest age that you will attain in...

You do not need your own personal PLR for the annually recalculated amortization method. I talked to Alan at Ed Slott & Company & William J. Stecker, they are both specialists in this field. If anyone knows the answer, it is them. They both told me it is a perfectly valid method to use. I...

Here is one example: I will be taking my distributions on Jan. 7th of each year. Next year i will be 42 years old on Jan. 7th so you would think I would use that age to determine my distributions. But instead you use the age you will be turning in that year. This one miscalculation can bust...

There are private letter rulings that open up revenue ruling 2002-62 to other methods of calculating distribution amounts. Alan, from Ed Slott & Company also confirmed that it is possible: “Yes, the IRS has approved "recalculated" amortization plans, but the IRS sees very few of them and that...

My balance has been growing very quickly over the years so the RMD method made the most sense since the distribution amount is recalculated every year with the new account balance. I’ve been reading through William J. Stecker's, A Practical Guide to 72t's...

Yes, I did rollover some of the funds in the IRA for emergencies before starting the 72t plan. Thank you!

Good point.

Thank you for the RMD table info. I happened to run across that while doing some research, and yes, it sounds like the new tables will go into effect in 2022. It’s good to get confirmation on that.

10 years! That’s great. It’s good to know that it’s possible. The RMD method bases your withdrawals off of your balance and age which change every year, so the distributions will be different every year. If your account balance has grown considerably since you started your 72t plan and you...

I am starting a 17 year long 72t plan and am really concerned that I will do something wrong to bust the plan. I did some math and if I bust the plan in year 17 I could owe the IRS $300,000 in penalties & interest. I’m hoping someone with knowledge on 72t’s can confirm that I am doing everything...

I will most likely continue running my business for the next 5+ years in a shrinking capacity. I would like $20-$30k in withdraws per year now just to take some financial pressure off of my shoulders but I don’t know if I can make that happen. A lot of that $20-$30k would probably just end up...

I know it sounds crazy to withdraw from the Roth but I will try to explain my situation in greater detail so you can understand my predicament. I am 41 years old. I make around $100k/year. I own & operate a house painting company. My body is no longer able to do what it once was. I knew...

I have accumulated about $2,000,000 in savings but it is all tied up in retirement accounts. $730k in a 401k and IRA and $1,270,000 in Roth IRAs. I am going to withdraw my Roth contributions ($97,000) so I can start investing and growing money in a non retirement account for easier access. Let...

Okay, thanks! I kept finding contradictory info online that made it difficult to know for sure.

Hi, I plan to withdraw all contributions I have made into my Roth IRA. I am not yet 59 1/2 but I have read that as long as the account has been open for at least 5 years there are no penalties or taxes. On the other hand I have also read that contributions can only be withdrawn 5 years after...

You are correct. I have all of my savings locked up in retirement accounts. The goal is to get as much money out as I can(penalty free) so I can start growing funds in a taxable account that is more accessible. I plan on rolling my solo401k and simple IRA into my TIRA when I start the SEPP...

Thank you! I don’t plan on doing this until next year possibly so I’m sure it will be different, but I’m glad to confirm that I was looking in the right place.

I am trying to calculate my potential withdrawals using a (72)t plan and need to know the %120 Federal mid-term rate. From what I found it looks like it’s right at 2%. Can someone confirm this for me? Thanks!

Thanks! I am very fortunate. Especially considering I almost went with Blockbuster😱😂

I’m fairly certain it is around 60-70k but I will find out exactly tomorrow. I was very fortunate to have put $7000 into Netflix in 2007. I didn’t sell a single share until last year, but by that time it had grown over 10,000% to $800,000. I also got into Amazon and Apple. You gotta love...

I am 41.5 years old so I still have 18 years until I can fully access my retirement funds. My wife is 46.5 so my plan really only needs to make it 13 years since we will be able to access her Roth funds at that point. The mortgage Loan is an interesting idea. It might be something I consider...

Hi, I have accumulated about $2,000,000 in savings but it is all tied up in retirement accounts. $730k in a 401k and IRA and $1,270,000 in Roth IRAs. I am only 41 and live fairly modestly on 100k per year. I would like to start withdrawing $30-50k to supplement my income and decrease my work...

I started saving and investing in 2003 at the age of 24. My goal was to reach 1 million dollars and then I would retire. I saved $250,000 over the next 10 years. I invested the money and eventually reached 1 million 3 years ago when I was 38. Although I was very proud to reach a big financial...