Quote:
Originally Posted by kingofbeer
Check with fidelity,vanguard,etrade. You withdraw money from your account. You take a distribution. You do not remove money from your account. IRS calls it a distribution or rollover in some cases. It is important to use the proper terminology. Geez means nothing to me. Not offensive to me.
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I agree that proper terminology is important. But, the proper terminology is to call it a distribution, not a withdrawal. Withdrawal is not the proper terminology because you could have your IRA assets in more than one financial institution. You could withdraw IRA money from one institution and deposit it into the other institution. This can be done using a rollover or a direct transfer. But it would not qualify as an IRA distribution because the money is still in an IRA. RMD stands for "required minimum distribution". I have a Vanguard account, and when I make an IRA distribution, I don't "withdraw" money from Vanguard, I just transfer it from my IRA to the non-IRA portion of my Vanguard portfolio. I never withdraw money directly from Vanguard. If I want to spend money from Vanguard, I transfer it to my Truist checking account, and then I write a check.