CARES Act Suspending 2020 RMD’s
We hope you and your family are doing well. The recent approval of the economic relief plan known as the CARES ACT has also brought some changes to mandatory retirement plan distributions for 2020 that I thought you should be aware of. The bullet points listed below come from the newest addition to our PWA team, Chris McNesby, CFP. He has also included a link to an informative article.
* If you were scheduled to take a Required Minimum Distribution (RMD) in 2020, this is no longer a requirement for 2020.
* You can still take distributions as needed to supplement your income, it is just not required for 2020.
* If you already took your Required Minimum Distribution you can roll it back into your IRA and not pay taxes on the as long as it is within a 60 day window of your distribution. For example, if you took a distribution on January 5th you are outside the 60 day window.
* This applies to all IRA’s including Beneficiary and Inherited IRA’s.
If you think we should discuss please call or e-mail us. Naturally, this is continuing to evolve – stay tuned and stay well.