"Required retirement withdrawals: What should you know?" By John Dickerson & Hawes Dickerson Financial Advisors Edward Jones

   You may spend decades contributing to your IRA and 401(k).
   But eventually, you’ll need to withdraw from these accounts – so you’ll want to know just how much you should take out.
   First of all, you generally should begin taking withdrawals – technically called required minimum distributions, or RMDs – in the year in which you turn 70-1/2.
   If you don’t take your first RMD during that year, you must take it no later than April 1 of the following year.
   And you must take RMDs on time to avoid paying penalties to the IRS.
   As the name suggests, you must withdraw at least a minimum from your retirement accounts, with the exact amount determined by an IRS formula.
   But should you take more?
   If you need the money, you need the money.
   However, if you have other resources, such as reasonably large Social Security checks and income from other investments, you might be able to get by with just the minimum withdrawals.
   In any case, weigh all the factors before you start tapping in to your IRA and 401(k).
   These are valuable assets – so use them wisely.
   This article was written by Edward Jones for use by your local Edward Jones Financial Advisor.


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