Ah, I think I see why you are making this out to be a bigger deal than it is. You do not need to distribute the full position at one time. For example, if your 2025 RMD is say $2,500, you can distribute just 3 of these bonds next year to cover the RMD and leave the other 17 in the Inherited IRA. Or you distribute 2 plus a bit of cash to get to the RMD amount. Again, that assumes that none of them are redeemed on June 1, which is not yet known.Regardless of its value, I must either sell it or transfer it in kind to a taxable account. A transfer in kind means I am taking the full value as an IRA distribution. I will sell it (within the inherited IRA) and take distributions over the next 6 years. I'm done thinking about this, I think.![:confused]( "confused")
--vtMaps
Stop looking at this like a 2033 bullet bond and start looking at it more like a bond ladder, with anticipated (though unfortunately uncertain) redemptions along the way. Do you really want to give up 2+% on the bond market bid/ask spread when you don't need to?
Statistics: Posted by Oregano — Mon Aug 19, 2024 8:45 pm — Replies 35 — Views 3192