Distribution Settings Tutorial

we're pleased to announce that you can

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now specify the distribution plan for

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any investment account uh that's

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included in an income lab income plan so

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for example here I have a plan that is

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using the taxable tax deferred tax free

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distribution method but I also want to

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include some IRA distributions uh early

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in the plan so that I don't just have

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taxable distributions so I've created a

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special Ira here and in distribution

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settings I've I've told it I do want to

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specify a distribution plan for this

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account um it's going to be in

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installments they're monthly they're

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going from 2024 to

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2033 and I'm Distributing a certain

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dollar amount every month I could do it

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as a percentage which of course would

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never draw the account down to zero um I

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could do it as a stretch which is how

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you would typically um do distribution

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plans for an inherited IRA that's when

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um you use a a divisor that you get from

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from the IRS but essentially it would

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distribute the plan across evenly across

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that period but I'm I'm using a dollar

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approach um and because of that I

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actually have um not only the taxable

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distributions in this plan but also a um

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a $36,000 year distribution from the

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special Ira I could also use this for

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lump sum distributions for example if I

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had a particular taxable account account

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that I want to fund a particular lumpsum

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uh expense I could do that what's nice

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is if a if if an account has a specified

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distribution plan it won't be included

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in the normal distributions of the plan

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so there are always um calculations

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going on in the background determining

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where to take withdrawals from but if

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you have specified withdrawals for a

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particular account the software will

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ignore that account as much as possible

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um now if there are rmds that are

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required or uh if that were the only

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account in the plan then the software

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will take more uh than than your

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specified distribution if necessary

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another nice thing is you could uh you

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could

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add a um a non-qualified uh variable

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annuity for example

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[Music]

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um and now match

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the

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match the

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distributions um let's see nonqualified

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annuity um that's fine for the cost

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basis and we're going to put some

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distributions in here

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specify we'll do a

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monthly and we'll we'll just say it

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continues through the end of the plan

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going to do a dollar amount not adjusted

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for inflation

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and you know this is probably not the

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right amount but we'll do $11,000 a

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month recalculate the plan and now we'll

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actually see that annuity distribution

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um affecting the annuity uh balance and

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and the two are linked now so I know in

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the past people have put um put

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distributions from the annuity

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uh in as a separate um other income item

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uh now you can actually do it as a as a

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distribution and again the plan will

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know now that that you do have this

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distribution that will include it in the

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calculation and it will reduce what's

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needed from from other accounts uh in

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order to to accommodate that so hope you

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have uh a lot of success using this new

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feature and look forward to um to

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hearing your experiences with it and

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your feedback thanks