I used your Web site's calculator to determine my required minimum IRA distribution. It is less than what I calculated manually according to the schedule I have. Was there a recent IRS change in divisors, in addition to the changes last year?

Yes, the IRS updated the numbers in April when it finalized the rule changes implemented last year.

The final rules further simplify the distribution process and allow beneficiaries to fix past mistakes. If you're looking at taking a minimum distribution this year, though, you get your choice: You can use the new rules, the proposed rules from 2001 or 1987 rules, whichever work best for your situation. The latest set of rules will offer the lowest minimum distribution for most retirees, however.

The life-expectancy tables now in use assume people will live a bit longer, which means IRA distributions will be spread out over a longer time period. So in most cases the required distribution will be a bit smaller.

The minimum-distribution calculator makes it easy to figure out how much money you'd need to withdraw under the new life-expectancy tables. For example, a 77-year-old with a $100,000 IRA balance would need to withdraw at least $4,717 in 2002. The table you were using probably included the old numbers.

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