Retirement Planning
August 21st 2020

August 31 Deadline to Roll Back Required Minimum Distributions Fast Approaching

Did you take an RMD before the CARES Act passed and changed the requirement? There's still time to roll back your withdrawal.

As we have written about previously, the CARES Act waived Required Minimum Distributions (RMDs) in 2020.

For taxpayers who had originally taken their RMD before the passage of the Act, there were limitations on whether they could return the distribution, now that they were no longer required to take it. These limitations included taxpayers who had taken multiple distributions, had already rolled back a distribution within the previous twelve months, and those who had missed the 60-day window for rolling back the funds.

Recently issued IRS guidance extends the deadline for all taxpayers who want to roll back unwanted distributions, regardless of the limitations mentioned above. The new deadline is August 31, 2020.

The IRS guidance includes inherited retirement accounts which, prior to this guidance, had not been eligible accounts to accept rollovers.

Please contact your financial advisor as soon as possible if you wish to take advantage of this IRS guidance.

Recent Insights

Subscribe to our Newsletter

This field is for validation purposes and should be left unchanged.

Are you ready to be financially independent?

We promise your financial plan will be comprehensive and designed to meet your goals. Request a discovery call today to learn how EKS Associates can help. There’s no obligation or fee to discover how we work and if we’re a good fit. Start planning your future today.

Contact Us

You May Also Like

Should You Carry a Mortgage into Retirement?

Should You Carry a Mortgage into Retirement?

As many of us approach retirement, one of the key financial questions homeowners face is: should you pay off your mortgage before crossing into this exciting new phase of life? There’s no easy answer. You must consider many variables, weighing both financial and psychological factors.

Read More
Does the 4% Rule Still Work?

Does the 4% Rule Still Work?

The 4% rule is a popular retirement withdrawal strategy that suggests retirees can safely withdraw the amount equal to 4% of their savings during the year they retire and then adjust for inflation each subsequent year. Here’s how it works and why there are doubters.

Read More