A method of calculating taxes on a lump-sum distribution from a qualified retirement plan, enabling one to pay less than one's current tax bracket.
Related information about forward averaging:
- Forward Averaging Definition | Investopedia
... over a five- or ten-year period. Forward averaging is available only to qualified plan participants who were born before 1936 and meet certain requirements.
- Forward Averaging | Retirement Dictionary
Mar 20, 2009 ... Forward averaging is used to reduce the amount of taxes paid on the distribution amount, by lowering the participant's tax rate. The five-year ...
- Forward Averaging - Financial Dictionary - The Free Dictionary
A method of calculating taxes on a lump sum distribution from a qualified retirement plan that enables the tax payer to pay less than the current tax rate.
- Forward Averaging: Definition from Answers.com
Forward Averaging Treating lump-sum retirement-plan distributions as if they occurred over a five- or ten-year period.
- What is forward averaging? definition and meaning
Definition of forward averaging: A method of calculating taxes on a lump-sum distribution from a qualified retirement plan, enabling one to pay less than one's ...
- distributions from retirement plans
Lump-sum distributions, as defined above, are eligible for forward-averaging, a more advantageous form of tax treatment. IRA, SEP or 403(b) plans are not ...
- Fool.com: Lump-Sum Pension Distribution Tax Issues [Tax Q&A]
But, you should know that if you use 10-year forward averaging you'll have to use ... The amount of a distribution subject to forward averaging is taxed separately ...
- Fundamentals Chapter 4 - Pension Plans | EBRI
TRA '86 phased out capital gains treatment for lump-sum distributions over 6 years beginning January 1, 1987, and eliminated 10-year forward averaging for ...