Distribution Rules and Taxation

Free CFP Exam lesson in Retirement Savings and Income Planning. 18 min read, ~2,665 words.

RMDs start at 73: prior-year 12/31 balance ÷ Uniform Lifetime Table factor (75 for those born 1960+). 10-year rule: non-eligible designated beneficiaries must empty inherited accounts within 10 years. Roth ordering: contributions first, then conversions (FIFO), then earnings. Pro-rata rule: aggregates all traditional, SEP, and SIMPLE IRA balances for conversion...