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h2ebits

(890 posts)
6. It depends on the institution and the state. . . .
Wed Nov 9, 2022, 05:16 PM
Nov 2022

and on your estimated annual taxable income.

I have an IRA at Vanguard, also. I currently don't pull any RMD monies out of it because I also have an IRA Annuity that provides monthly income and is over the required amount of RMD withdrawl so Vanguard will sit there until needed.

When I actually spoke to a Vanguard representative a few years back about the RMD, I was advised that they would withhold for federal taxes but they did not withhold for state taxes because all of the states are different. Perhaps they have changed their policy at this date.

My IRA annuity has always withheld for both state and federal taxes.

Social Security will withhold for both federal and state taxes but only at the percentages they allow. ie. federal 10% withholding and state, I believe is like 5%

Hope this helps.

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