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Investing - Theory, News & General • Timing of estimated income tax payments in connection with taking RMD as in-kind transfer

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I am considering taking my 2025 RMD as an in-kind transfer of shares of VFIAX to my taxable brokerage account. My first thought is to divide the RMD into 4 transfers made in March, June, September and December and pay the estimated tax in April, June, September and January. My reason for doing so is to satisfy the IRS that I am making estimated tax payments as I receive income in the form of RMD payments. Also, I do not want to take the RMD all in one transaction.

I realize that by taking the RMD in 4 payments I need to make certain that I take the entire RMD by 12-31-2025. If the value of the shares that are transferred are insufficient I can make up the shortfall with a distribution from VMRXX.

Any feedback on what I am considering doing would be appreciated.

Statistics: Posted by JustNewton — Fri Sep 13, 2024 4:03 pm — Replies 1 — Views 48



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