OTCPK:MAUXF - Post by User
Comment by
5woodon Jan 02, 2013 10:58am
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Post# 20788544
RE: RE: RE: re- transfering shares.
RE: RE: RE: re- transfering shares. rrcool53, you are correct that if you don't have enough cash in the account at the time of the monthly withdrawal then you are into selling something in your account to allow them to withdraw the necessary monthly withdrawal amount. I keep dividend paying stocks in mine which generate enough monthly / quarterly dividends to meet the monthly withdrawals.
Remember that as you age the annual withdrawal % percentages (there is a min. amount as well as a max. amount that can be withdrawn) increases each year so you want to make sure that you have sufficient earnings / dividends being generated to handle the increased withdrawals. At some point near age 80 (I don't have the numbers in front of me) you can take out all of your funds if you wish as the max. annual withdrawal % will get to 100%.
Have your banker provide the schedule of withdrawals by age bracket etc as that will really assist you as the two of you go through this process. I had my BMO broker handle this and it went through smoothly and as mentioned I have had this working for several years now. But once you do this I am pretty sure that you can not switch it back...
Good luck with this and your banker should provide the data for you to allow you to make an informed decision on this.
5wood