American IRA Discusses the Significance of Age 70 ½ on a Self-Directed IRA

ASHEVILLE, N.C., Nov. 17, 2018 /PRNewswire-PRWeb/ -- RMD's might not sound too important to the average investor, but as they relate to anyone with a Self-Directed IRA, they can be a vital part of planning for retirement. RMDs stand for Required Minimum Distributions, and they kick in at the age required by law. For those people nearing retirement age and struggling to understand how to plan for it, this age is vital information.

As a recent article at American IRA points out, there is no single way to plan for the age of 70 ½. For instance, it is possible that Congress can change retirement laws in the future, which in turn could change the plans of current retirement investors with a long-term time horizon. On the other hand, those closer to retirement age are more likely to count on the current age as it relates to their own investment accounts.

According to the IRS website as of 2018, "You generally have to start taking withdrawals from your Self-Directed IRA, Self-Directed Simple IRA, Self-Directed SEP IRA, or retirement plan account when you reach age 70½." And because Self-Directed IRAs, Self-Directed Simple IRAs, and Self-Directed SEP IRAs would fall under the same individual categories, investors with these accounts would have to plan for the same age.

The article notes that it is possible to take distributions that are above the required minimums?and this is possible once the account has cashed out on "some or all of the property or assets owned in order to have these funds available." Investors who are thinking about having that kind of cash available within their retirement account will have to note that this kind of strategy needs to be in place in order to attain the RMD's or beyond.

Because strategic legacy planning does not remove the RMD requirements, investors who plan on using a Self-Directed IRA for estate planning purposes will have to be aware of these complicated issues in advance.

For more information, visit http://www.AmericanIRA.com or call 866-7500-IRA.

About:
American IRA, LLC was established in 2004 by Jim Hitt, CEO in Asheville, NC.

The mission of American IRA is to provide the highest level of customer service in the self-directed retirement industry. Jim Hitt and his team have grown the company to over $400 million in assets under administration by educating the public that their Self-Directed IRA account can invest in a variety of assets such as real estate, private lending, limited liability companies, precious metals and much more.

As a Self-Directed IRA administrator, they are a neutral third party. They do not make any recommendations to any person or entity associated with investments of any type (including financial representatives, investment promoters or companies, or employees, agents or representatives associated with these firms). They are not responsible for and are not bound by any statements, representations, warranties or agreements made by any such person or entity and do not provide any recommendation on the quality profitability or reputability of any investment, individual or company. The term "they" refers to American IRA, located in Asheville and Charlotte, NC."

SOURCE American IRA, LLC