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“TD-to-Schwab Tax ‘Gotcha’ Coming in January” on Advisor Perspectives

Advisors who set up recurring withdrawals at TD (e.g., in Veo One) to occur at the beginning of each month, quarter, or year need to beware. With the transition to Schwab, those scheduled January withdrawals will take effect in December instead. In IRAs, this may mean the withdrawal will apply to the wrong tax year (2023 instead of 2024) and will not count toward 2024 RMDs as expected.

Details are on Advisor Perspectives:

If you know any advisors whose client accounts recently transitioned to Schwab, please help spread the word!

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