I want to address one change in the new SECURE act and how it affects some of us, individually.
The new rule for Required Minimum Distributions from a traditional IRA is that one must take distributions starting the year he or she turns 72. Going from a split year to a full year is confusing. Gotta love the way our hired employees can't stand to make anything simple.
For those who were looking at having to take out money from an IRA under the old rule of 70½ but get to postpone the withdrawals under the new rules, be aware that some of us will get a 1-year change, while others will get a 2-year change to the effects on our overall income and taxes.
If you were born between January 1 and June 30, 1950, you will now have to take your first RMD in 2022 instead of this year. This gives you a delay of 2 years where your IRA and your taxes are concerned.
If you were born between July 1 and December 31, 1950, you will also take your first RMD in 2022, but under the old rule of 70½, you would have had to start in 2021, so that only gives you a delay of 1 year where your IRA and taxes are concerned.
Now for personal advice:
The first year that you take an RMD, the IRA rules will let you wait until April of the following year to take your distribution for the year. Don't do it!
Be sure to take at least your entire RMD from your IRA during the calendar year.
The one exception might be if your taxes during the first year of having to take your RMD would be astronomical while that next year would be a much lower amount for whatever reason, even with taking two RMDs from your IRA in the same year.
Going forward through subsequent years, you just have to take your RMD before December 31 every year to avoid penalties.
Enjoy!