Unless you have both inherited and non-inherited IRAs. They need to be treated separately. They have different rules.Each IRA does not have its own RMD. You have an RMD which is based on the total amount of your pre-tax traditional IRAs. That amount must be withdrawn from any combination of your IRAs before you can do a conversion.Is this really possible? I will need to start RMDs in 2025. I have been doing Roth Conversions since 2015 when my husband retired. I have 2 smaller IRAs(Fidelity, Vanguard, and a larger 401K balance maintained by Fidelity. Would I be able to take RMDs, then Roth conversions from the IRAs early in the year, and then later in the year do the larger RMD from the 401K? I plan on using the RMDs to pay federal taxes.I think it was Alan S. who pointed out a way to get around this, by having more than one IRA. Say you have $25K in a small IRA and $500K in a big IRA before the year starts (to force having RMDs on both accounts). In the small one, you take out the RMD early, then convert the rest whenever you want. Meanwhile you can wait until the end of the year to take the big RMD. Of course, you can then re-fill the small one for the following year.Yes, because it is tax law. The entire RMD (which can include a QCD) must be removed before any Roth conversions are done.For someone over age 70 (mid/late 70s), does the full RMD need to be taken before a Roth conversion is done?
If so, why?
Statistics: Posted by bertilak — Wed Jul 10, 2024 1:37 pm