Description

Required minimum distributions (RMDs) must begin for the year in which the account owner reaches age 72 (older if they were born after 1950). RMDs must also be taken from inherited accounts, and the process for determining RMDs for these accounts is more complex than those that apply to RMDs for non-inherited accounts. Failure to comply with the RMD rules will result in the account owner owing the IRS an excess accumulation penalty on any RMD shortfall. Interested parties must understand the compliance requirements that apply to RMDs to be able to assist in ensuring that penalties are avoided. Additionally, the recent changes that affect RMDs must be considered when advising clients about their RMD obligations.

Instructor: Denise Appleby, MJ, APA, CISP, CRPS, CRC

Target Audience

All practitioners advising clients on these complex issues

Course Objectives

Identify individuals who must take RMDs.

Explain the RMD rules for account owners and beneficiaries

Describe how RMDs and QCDs can be coordinated

Handle the excise tax that applies when an RMD is not taken by the applicable deadline

Subjects

How to determine when an individual is subject to an RMD

Coverage of RMD changes under SECURE Act 2.0

What is the required minimum distribution for an account owner?

What is the required minimum distribution for a beneficiary IRA?

Key explanations of RMD regulations

The types of accounts that are subject to the RMD rules

The parties that are subject to the RMD rules

Exceptions and special considerations for RMDs

Rollover and transfer rules in an RMD year

The various responsibilities of interested parties

Qualified charitable distributions and how they are coordinated with RMDs and IRA contributions

How the 10-year rule works for beneficiaries