Congratulations on your retirement! Once you’ve reached this point, you’re ready to start withdrawing money from your retirement accounts.
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If you have never done this before, don’t panic. Financial expert Dave Ramsey recently shared seven simple steps to withdraw money from your retirement account after retirement.
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Why should you start working with a financial advisor? According to Ramsey Solutions, an advisor can help you decide how much money you should withdraw from your account.
Working with a financial advisor is also helpful in determining which account you want to withdraw money from. There are different lines in place to make withdrawals from traditional IRAs, 401(k) plans and Roth IRAs. If you’re not sure how to do it or plan to withdraw money from multiple accounts, a financial advisor can guide you through the process.
Retiree options include receiving payments in one lump sum or through multiple withdrawals. It’s best to start by reviewing your specific investment account’s withdrawal rules.
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Once you know how much you want to withdraw and how you want to receive it, the third step is to contact the financial institution where your retirement account is held. Let them know that you are ready to start withdrawing money from this account. Depending on the financial institution, you can do this in person or start the process online.
After you’ve confirmed you’re ready to start withdrawing money from your retirement account, they’ll take it from there. The financial institution will start preparing the paperwork for you.
Be sure to read through the notes when you receive the papers. Ask for clarification if there is something you do not understand.
Sign and return the paperwork to your financial institution.
During this time, the financial institution processes your documents. Finally, they will withdraw the requested withdrawal amount.
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This article originally appeared on GOBankingRates.com: Dave Ramsey: 7 Steps to Withdraw Money From Your Retirement Account When You Retire