Yarnstormer
Recycles dryer sheets
Crap I already did rmd to fund my roth. I guess there is no undoing that. Could have been worth it to wait til 2021 and get a higher subsidy.
Crap I already did rmd to fund my roth. I guess there is no undoing that. Could have been worth it to wait til 2021 and get a higher subsidy.
I don't know, but I think maybe you can undo it. It's possibly worth checking into.
Crap I already did rmd to fund my roth. I guess there is no undoing that. Could have been worth it to wait til 2021 and get a higher subsidy.
Because I’m a freaking financial genius I already invested it in the Roth. Let’s just say market timing is not my forte. It’s maybe 6k so not a huge amount but still...
Per https://www.kiplinger.com/article/r...s-stimulus-you-can-wait-to-take-your-rmd.html
Scroll about halfway down -
Distributions from inherited IRAs are not included in the waiver and will still need to be taken in 2020.
*****************************************************It would seem to apply. I don't know of any IRS rule that it wouldn't apply. However, your IRA custodian may not be set up to accept a rollover into an inherited IRA, as that is something that normally would not happen.
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The "no RMD's required in 2020" is to allow people the ability to not sell at these depressed market levels (which in itself is a market crutch... less selling!).
If you sold in January or before the market dropped, you weren't harmed... so other than maybe missing an opportunity had you waited longer, I don't understand the need to un-do prior RMDs.
Can you elaborate on this a little bit? You can't use an RMD to fund a Roth IRA. If you took the money from your IRA and put it in your Roth IRA, then it's a Roth Conversion. You can recharacterize it during this calendar year and put it back in your tIRA if you want to. I don't see why you would though, it's growing tax free in the Roth now.
Otherwise, if you are over 70 1/2 and taking RMDs, then you can only put money in your Roth IRA if you are also still working; or if you first take the RMD (which is $0 this year) and then do a conversion of additional funds.
I see the statement in the article, but I'm not sure I trust a statement like that from a personal finance website without some logic, reasoning, or citation. Especially when it appears to go against the plain language of the bill. I'll be interested to see if others come to the same or different conclusion.
Please post if you find a more definitive citation. I always thought of Kiplinger's as reliable because they have that nice printed magazine.
Hard to know who to believe anymore.
I haven't taken the inherited IRA RMD yet. I don't need the cash and would rather not take it if that option is available.
Children, grandchildren and others who have inherited IRAs (pretax IRAs and Roth IRAs) must take annual withdrawals regardless of their own age. They too get an RMD holiday for 2020. (Another SECURE ACT wrinkle: Inherited accounts where the original account owner died on Jan. 1, 2020 or later must be depleted in a 10-year window, except for spouses, and select other heirs). Watch out: Taxpayers who miss an RMD can be hit with a 50% penalty tax, on top of regular tax, on what they should have taken.
yes. the RMD is from an inherited IRA. When I can, I use it to fully fund my Roth IRA instead of blowing it. I was shifting stuff around in January anyway so for some reason it seemed like a good idea to go ahead and do that. I'm partially retired I guess still working part time self employed. If I did not have the RMD tho, I don't think I could scrape up the roth money so there's that. I am 57.
Please post if you find a more definitive citation. I always thought of Kiplinger's as reliable because they have that nice printed magazine.
Hard to know who to believe anymore.
I haven't taken the inherited IRA RMD yet. I don't need the cash and would rather not take it if that option is available.
The only thing I see in there that's specific to inherited accounts is: "(II) if clause (ii) of subparagraph (B) applies, the 5-year period described in such clause shall be determined without regard to calendar year 2020.’’ So to me, that would mean that if you inherit an IRA in 2020 that would normally be subject to the 5-year distribution rule, you would get an extra year to empty it. If you inherit an account this year that is subject to the 10-year rule, you don't get any relief.
I already took 2/3 of mine .I wonder if I can just skip the last third ?
Yes, if you are referencing an RMD from your IRA, not an inherited one.
I've taken about 1/3 of mine and will take more, but not 100% of what was required before the govt said "never mind."