Terrance is age 71 and retired. Beginning in 2018, he must start taking minimum distributions from his IRA account that had a balance of $190,000
Terrance is age 71 and retired. Beginning in 2018, he must start taking minimum distributions from his IRA account that had a balance of $190,000 as of December 31, 2017. Make these three assumptions: his IRA will earn 9% per year; he will withdraw the minimum distribution on the last day of each calendar year, and only one distribution will be taken in 2018. Calculate the amount of his distribution for years 2018 through 2022 and the ending balance in his IRA account on December 31, 2022. UseTable I,Table IIIandTable V.(Do not round "Applicable Life Expectancy" answers. Round other answers to nearest whole dollar value. Use these answers in subsequent computations.)
Terrance is age 71 and retired. Beginning in 2018, he must start taking minimum distributions from his IRA account that had a balance of $190,000 as of December 31, 2017. Make these three assumptions: his IRA will earn 9% per year; he will withdraw the minimum distribution on the last day of each calendar year, and only one distribution will be taken in 2018. Calculate the amount of his distribution for years 2018 through 2022 and the ending balance in his IRA accounton December 31, 2022. Use Table I, Table III and Table V. {Do not round "Applicable Life Expectancy\" answers. Round other answers to nearest whole dollar value. Use these answers in subsequent computations.) LIFE EXPECTANCY TABLES Table I (Single Life Expectancy) (For Use by Beneficiaries) Age Life Expectancy Age Life Expectancy 56 28.7 57 84 27.9 8.1 85 58 27.0 7.6 59 86 26.1 7.1 60 87 25.2 6.7 88 6.3 61 24.4 62 89 23.5 5.9 63 90 22.7 5.5 64 91 21.8 5.2 65 92 4.9 21.0 93 4.6 66 20.2 67 94 19.4 4.3 68 95 4.1 18.6 69 96 17.8 3.8 70 97 17.0 3.6 98 3.4 71 16.3 72 99 3. 1 15.5 73 100 14.8 2.9 74 101 14.1 2.7 75 102 13.4 2.5 103 2.3 76 12.7 77 104 12.1 2.1 78 105 11.4 1.9 79 106 1.7 10.8 80 107 10.2 1.5 108 1.4 81 9.7 109 82 9.1 1.2 83 110 8.6 1.1 111 and over 1.0Table III [Uniform Lifetime} {For Use by: I Unmarried Owners. I Married Owners Whose Spouses Are Not More Than 1i! Years Younger. and +- Married Owners Whose Spouses Are Not the Sole Beneciaries of Their IRAs} Age Distribution Period Distribution Period 113 114 115and over TABLE V-ORDINARY LIFE ANNUITIES ONE LIFE-EXPECTED RETURN MULTIPLES AGE MULTIPLE AGE MULTIPLE AGE MULTIPLE 10.0 76.6 42 40.6 79 75.6 43 39.6 80 9.5 81 8.9 74.7 44 38.7 8.4 73.7 45 37.7 82 7.9 72.7 46 36.8 83 10 71.7 47 35.9 84 7.4 48 34.9 6.9 70.7 85 11 34.0 86 6.5 12 69.7 49 13 68.8 50 33.1 87 6.1 67.8 51 32.2 88 5.7 5.3 66.8 52 31.3 89 16 65.8 30.4 5.0 53 90 64.8 54 29.5 91 4.7 63.9 55 92 4.4 18 28.6 62.9 56 27.7 93 4.1 94 3.9 20 61.9 57 26.8 58 25.9 95 3.7 60.9 59.9 59 96 3.4 22 25.0 59.0 60 24.2 97 3.2 58.0 61 23.3 98 3.0 22.5 99 2.8 57.0 62 63 21.6 100 2.7 56.0 55.1 20.8 101 2.5 2.3 54.1 65 20.0 102 53.1 66 19.2 103 2.1 67 18.4 104 1.9 52.2 51.2 68 17.6 105 1.8 16.8 106 1.6 50.2 69 49.3 70 16.0 107 1.4 71 15.3 108 1.3 48.3 109 1.1 47.3 72 14.6 1.0 46.4 73 13.9 110 45.4 74 13.2 111 .9 112 .B 44.4 75 12.5 43.5 76 11.9 113 77 114 42.5 11.2 41.5 78 10.6 115
