8 Little-Known Facts About RMDs

#Morningstar  #RMDs #RetirementInvesting

Understand the rules and common misconceptions about who needs to take required minimum distributions, when to take them, and how to efficiently manage them.

00:00 Introduction
00:34 Required Minimum Distribution Age
01:05 The Required Beginning Date for RMDs
02:03 Can Required Minimum Distributions Be Delayed?
03:01 In-Kind RMDs
04:20 Do RMDs Have a Minimum Required Withdrawal?
05:20 Do Required Minimum Distributions Have to Be Taken From All Accounts?
06:12 RMD-Reduction Strategies and Qualified Charitable Distributions
07:18 Who Should Consider Qualified Longevity Annuity Contracts?

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[justinjunk]

An important fact about the QCD is that for people like me who do not itemize on their federal income tax is that the reduction in income can effectively be a deduction that you otherwise would not be able to take.

[Bondbeer]

Good video. I knew all except the in kind RMD which is worth the price of admission as most of my IRA is in individual stocks that I would not want to sell. One point on the ability to take all the RMD from one account instead of needing to take from all, my understanding is that only applies to IRAs. If you have a 401k and IRA, they each have their own RMD and you would need to take an RMD from each.

[davevarga]

Strangely, just like ever single other source, when talking about QLACs, it is mentioned that this is a way to save on paying RMDs. This is definitely true. However, and this is a big however, once you trigger the QLAC and begin receiving yearly income (until you die), you will also start paying FMV Fair Market Value not only on the amount you originally dedicated to the QLAC, you will be paying extra RMDs because the FMV of the QLAC will be higher than the amount you originally put into that QLAC.