Do 72T Myself? Do I Need a Financial Advisor?
We have effectively set up 72(t) distributions for penalty-free income many times throughout almost 50 years and this strategy works, IF DONE CORRECTLY.
The IRS Is Unforgiving.
Once 72(t) payments start, they cannot be stopped or modified for any reason. If payments are modified in any way other than due to death or disability of the IRA owner, a 10% Federal Income Tax penalty PLUS interest will be retroactively applied to the payments beginning with the first year of the distributions/payments. This means that if you are in Year #4 of taking 72(t) payments and you violate the rules, you will have to pay this 10% tax penalty (and interest) on the entire amount you have withdrawn over the first (3) years and not just on the amount you violated in Year #4 of your 72(t) commitment.
Remember… Substantially Equal Period Payments (SEPP) from your 72t IRA cannot be modified for (5) years or until Age 59 ½, WHICHEVER IS LONGER.
Make sure you work with a Financial Advisory Firm who is experienced and knowledgeable in this specialized area.
Knowledge is POWER. Mistakes can be VERY costly.
Allow Us To Be Your “Coach”
History has shown that top athletes and top business executives have achieved their MAXIMUM potential by utilizing coaches. This applies to athletes and executives like Michael Jordan, Floyd Mayweather, Brett Favre and Tiger Woods as well as Michael Eisner (ex-CEO of Disney) and Jack Welch (ex-CEO of General Electric).
The point is… in order to achieve YOUR best and reach success in life financially, we believe you need a plan, a sound strategy and a FINANCIAL COACH to help guide you.
Financial Markets Are Challenging
It is human nature to think we can handle the management of our own money. Of course, you could try to do it on your own and many people do try. This specialized area (72T Distribution Planning) requires the advice and counsel of a competent, experienced and knowledgeable Financial Advisor.
Imagine retiring in 2007, right before the last “financial crisis”… Could you afford to lose 30-50% of your hard earned savings? Do you remember what happened in years 2000-2002? Do you recall the “dot-com” bubble burst? Let us show you the various options that work well with the 72T Distribution Strategy (“Risk-Based” options vs “Safe Money” options).