Tag: required minimum distributions
The current Required Minimum Distribution (RMD) rules are a useful tool to ensure that the favorable tax provisions associated with retirement plans are used to generate retirement income – not to enhance the size of estates. But given the current collapse of financial markets, Congress was right to suspend the RMD for 2020 as part…
Hoarding retirement savings is a risk. At a recent conference, retirement experts concluded that the lack of an easy drawdown mechanism in 401(k) plans was the major challenge facing the 401(k) system. In 2014, the Treasury Department and the IRS issued guidance that made longevity annuities accessible to 401(k) plans and that enabled target dat…
