Sean (Age 72 at End of 2020)retired Five Years Ago

question 42

Essay

Sean (age 72 at end of 2020)retired five years ago. The balance in his 401(k)account on December 31, 2019, was $1,760,000 and the balance in his account on December 31, 2020, was $1,825,000. In 2020, Sean received a distribution of $65,000 from his 401(k)account. Assuming Sean's marginal tax rate is 25 percent, what amount of the $65,000 distribution will Sean have left after paying income tax on the distribution and paying any minimum distribution penalties (use the Treasury table below in determining the required minimum distribution penalty, if any).

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Definitions:

Grief

Grief is the intense emotional suffering or distress experienced as a result of loss, particularly the death of a loved one.

Caregivers

Individuals who provide care and assistance to those in need, such as children, the elderly, or the sick.

Racial

Pertaining to race or ethnicity, often used in the context of discussing diversity, ethnicity, and social dynamics.

Ethnic Groups

Collections of individuals who share common cultural, linguistic, or ancestral traits, distinguishing them from other groups.