Josh Wells, Jc Nancy, Euclid discussed on The Retirement Factory with Euclid Financial
Are broadcasting from the Euclid volts day and east providence. We have the entire team here. Jason the Republican. We do a fanny the money man rezendes. Hi, everybody. And I'm Josh wells getting you to and through your entire retirement today show is amazing. It is for the retirees if you haven't grabbed her Yuka notepad turn this radio up. Let's get talking to the retirees today. There are trigger points or ages. There are places you need to just know where to go you need to know at sixty two sixty six sixty five oh, it's like an alphabet soup out there. You have to know all these ages you have to know what's going on. But one that has to be brought up and probably one of the biggest confusions required. Minimum distribution for all the cool kids out. There are MDA's. Josh. You have to have it. Now when we're talking about armed MD's. You have to know they're required. It's not just a good idea. It's a law. That's right. I love the fact that they're required because it makes it sound so official it makes it so. Get to go to the principal's office. It's required at I think the key were there with it being required means at seventy and a half or the year, you turn seventy one whatever it. However it works there. You have to take the money out of those retirement accounts that you've been storing. But it doesn't mean you have to wait until seventy and a half dozen thing. I wanna talk. It doesn't have to be a surprise. There's a calculation you would have been doing just before you triggered your social security just before you triggered your pensions because you've got to be aware of it. So when seventy and a half comes. It's not a surprise. Yeah. It's it's one of those things that if you are waiting to the very last minute to treat your arm dis trigger your choir man, distributions pull money from your IRA's. Well, you're waiting to long you're setting up a tax by you're setting up something, that's irreversible. Now, there's a lot of people out there that have more money than they need. Right. Well, I'm living at my means. I don't need to take my IRA's bleed them off bleed them. All right. Just like. Just like your radiators if you don't bleed off your ears. They knock they hissed. They pull water they do all kinds of things. So listeners out there. You have to understand you have to bleed off your IRA's or you're going to set up a tax bomb later on at seven and a half. Josh, you're so right. You know, Nancy cold in the other day to us, you know, and I asked what was undermined. She said her biggest concern was about our taxes. You know, Nancy's been retired for a couple of years. Now, we were talking about her accounts in where her income was coming from it became clear to her that she was going to have an income tax problem at age seventy and a half because of the required minimum distribution. She was going to have to take the additional income. She was going to have to take it puts her into a higher tax bracket. You know, she says no one had ever explained. How are MD's worked for her before? I astronauts, worry we still have time to fix for tax problem is as I explained how we're gonna fix it. You know, I said, hey, if we just start taking your arm de now instead of waiting that you'd be able to remain in the same tax bracket that you're currently in and keep that tax bracket throughout your entire retirement. It doesn't cause you any undue taxes later on if you have not considered Uram D, And how it fits into your retirement. Call us today at Euclid financial services at four zero one seven two seven two seven two seven again that's four zero one seven two seven two seven two seven now. JC Nancy here. That's a he was a caller she called in. And she was chatting with you. I just where everybody doesn't miss that subtlety the way that you you actually were helping her correct. The RFID give the calculation out and understand the taxation. Was you started taking distributions not liquidating it, right? Not just taking withdrawals now randomly taking out assets or or lump sum. Money's you strategically and structurally started taking out increments of money listed for our MD. Use or required distribution use. That's right. We required minimum distribution means that you have to take it by age. So duck doesn't mean seventy in were older. So if you're eighty you still have in our MD. That's right. It doesn't mean you can't take your comfortable with it. That's right. It doesn't go away after that first year. Yeah. Exactly. And I think this I think are dis is where most plans actually fall off the rails because it's not planned for in the initial plan. Yeah. But like Nancy what you were saying is that you took it prior to see it as not a required, but just a distribution and you set it towards the governmental equation. So that e out so there was the same. That's right. And I think the key point here that have your Euclid note. Right. Down and wait in about thirty seconds. I'm gonna give you the formula gory detail. Just kidding. I'll give us a call test. Well, when it comes to the calculating of your RND, it's not a one time calculation. You don't do it once before you go into retirement, and then never looked at it. Again. It's something that you actually have to look at at minimum. Once every two years realistically once every year would be best. So you are head of it. It's absolutely phenomenal. Now the best way.