February 2018 Note From the Principals

The excitement here at our Colorado Headquarters for 2018 is palpable. We have a couple of large business model projects that are nearing completion and a number of online improvements for our account holders slated for roll out this year. We hope your year is starting out well.

As a reminder to those with pre-tax accounts such as Traditional IRAs, SEP IRAs, or SIMPLE IRAs, you must take annual required minimum distributions (RMDs) beginning the year you turn age 70½. If you turned 70½ in 2017, you have until April 1, 2018 to complete your first RMD (a deadline that applies to anyone who turns 70½ in a given year, i.e. those who turn 70½ in 2018 will have until April 1, 2019). All RMDs thereafter must be taken by December 31 every year. Non-spouse Inherited IRA holders must also take RMDs regardless of age.

Some of our clients have expressed concerns that their RMDs were not automatically withdrawn. We take every possible measure to notify our clients about their RMD responsibilities. If you have not received notification from us, please consider any recent changes to your mailing address, phone number, or e-mail address and contact our office to update this information as soon as possible.

New Direction IRA does not provide fiduciary advice, recommend any particular course of action, or complete transactions without client direction. As such, we do not distribute cash or assets on behalf of your self-directed IRA. Your myDirection® portal includes an RMD calculator that can assist with the process, but we strongly recommend that you confirm your required minimum with your CPA or other such tax professional. While the math involved may appear straightforward, other factors may contribute to the calculation, most of which we’re unable to account for or confirm. Therefore, if you’re subject to RMDs, we encourage you to utilize every resource available in ensuring the accurate execution of this transaction.

If you have questions or concerns about RMDs or would like to request a Distribution/Notice of Withholding form to initiate the withdrawal process, please don’t hesitate to contact our office.

Bill Humphrey & Catherine Wynne

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