A distribution calculation method for retirement accounts based on life expectancy. The first year's distributions are calculated based on current life expectancy, and the distributions in each successive year are calculated based on the original life expectancy minus the number of years that have passed.
Related information about term certain method:
- What is term certain method? definition and meaning
Definition of term certain method: A distribution calculation method for retirement accounts based on life expectancy. The first year's distributions are calculated ...
- Term Certain Method Definition | Investopedia
According to the term certain method, the distribution or withdrawal from the retirement account is based on the holder's life expectancy at the time of the first ...
- Required Minimum Distributions for Traditional and Roth IRAs
The Term Certain Method goes down by 1.0 per year and is unaffected by when you die. Depending on how long you live, the Term Certain Method may reach 0 ...
- What is a Term Certain Method?
The "term certain" method is a common approach to the calculation of the distribution of assets that are part of a retirement account. Use of this method takes into ...
- How to pick the best IRA distribution method. - Jul. 26, 2000
Jul 26, 2000 ... There is the Recalculation method, the Term Certain method and the Hybrid method. And there are many variations of the three. graphic ...
- IRA PLanning
The other mistake was electing to use the recalculation method instead of the term certain method. Under the recalculation method, the IRA owner's life ...
- IRA Distribution Methods | eHow.com
With the term certain method, annual payments are fixed according to your life expectancy. If you are 70 ... This is the period fixed by the term certain method.
- Minimum Distribution Requirements
Jan 17, 2001 ... Unlike the term certain method which sets the payout period based on a single ... And, while the term certain method calls for the payout of any ...