Withdrawal

The IRS requires that individual retirement account (IRA) owners start taking minimum distributions from the account once they reach age 70 1/2. Failure to take the mandated withdrawal triggers a 50% tax penalty on the amount that should have been taken out. The financial crisis has prompted the government to approve a one year suspension of the required minimum distribution rule. The article referenced at the bottom of this page provides very good information about IRA withdrawal rules and the...

Two industry-leading consultants have published a study that compares a range of wealth management strategies that are available to individuals in retirement. None of the strategies are dominant on an overall basis, but certain approaches show clear strengths in terms of income generation, levels of wealth, and the impact on bequest motives. The dramatic impact of product fees is also addressed. Six different retirement strategies are discussed: Systematic withdrawal from mutual funds. Fixed...