Iras And Retirement: What This Generations Should Be Aware Of

Current generations can learn a lot from previous ones.For instance, many GenXers and millennials who’ve just started out in their careers should look towards their financial goals.A great reference point would be the generation of baby boomers. Here are some helpful tips everyone, no matter the age, should remember when it comes to IRAs and retirement.

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Image source:das.iowa.gov

 

Dates are crucial when it comes to IRAs. The required beginning date (RBD) of the required minimum distribution (RMD) is April 1 of the first year the IRA owner reaches 70 years and 6 months of age.

Retirees with qualified plans can choose whether it’s April 1 after reaching 70 years and 6 months of age of the first April 1 after retiring.

Employees who are not 5% owners choosing to work beyond 70 years and 6 months may transfer funds from a company to an IRA. There are a few guidelines, though, when it comes to deferring retirement plan payouts.

When it comes to deferring taxes, indexed universal life insurance plans are great plans to look forward to.

 

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Image source:dreasjewelry.com

 

Anyone with an IRA plan can request that distribution be postponed for a year. Plan holders, however, should not assume that the amount they will receive is based on the amount in plan from the year before.

Barry Bulakites is the president of Table Bay Financial Network. He has extensive experience in the field of financial services. For more on how to keep finances in check, follow this Twitter page.