is the "taxable accounts" a taxable investment account?
if so, just invest the RMD from the IRA back into the taxable account (he'll owe tax on that RMD obviously). He can even do it in kind if he wants, if the investments would be the same. If not, just sell the RMD investment (say they're in bonds) and repurchase stocks or whatever allocation is in taxable.
or if he wants to gift you the money he can do that too, but still has to take out the RMD, pay the tax and can gift you either the after tax amount or the RMD amount (if he has other monies to pay the tax). It doesn't have to go into your 529, it can be gifted to you if he doesn't need it and you can use it as you see fit. Money is fungible.
if so, just invest the RMD from the IRA back into the taxable account (he'll owe tax on that RMD obviously). He can even do it in kind if he wants, if the investments would be the same. If not, just sell the RMD investment (say they're in bonds) and repurchase stocks or whatever allocation is in taxable.
or if he wants to gift you the money he can do that too, but still has to take out the RMD, pay the tax and can gift you either the after tax amount or the RMD amount (if he has other monies to pay the tax). It doesn't have to go into your 529, it can be gifted to you if he doesn't need it and you can use it as you see fit. Money is fungible.
Statistics: Posted by arcticpineapplecorp. — Wed Oct 02, 2024 9:33 pm — Replies 1 — Views 75