Sean (age 70 at end of 2020)retired five years ago. The balance in his 401(k)account on December 31, 2019, was $1,960,000 and the balance in his account on December 31, 2020, was $1,990,000. In 2020, Sean received a distribution of $30,000 from his 401(k)account(not a coronavirus-related distribution). Assuming Sean's marginal tax rate is 25 percent, what amount of the $30,000 distribution will Sean have left after paying income tax on the distribution and paying any minimum distribution penalties (use the Treasury table below in determining the required minimum distribution penalty, if any).

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The Answer of Sean (age 70 at end of 2020)retired five years ago. The balance in his 401(k)account on December 31, 2019, was $1,960,000 and the balance in his account on December 31, 2020, was $1,990,000. In 2020, Sean received a distribution of $30,000 from his 401(k)account(not a coronavirus-related distribution). Assuming Sean's marginal tax rate is 25 percent, what amount of the $30,000 distribution will Sean have left after paying income tax on the distribution and paying any minimum distribution penalties (use the Treasury table below in determining the required minimum distribution penalty, if any).

Sean (Age 70 at End of 2020)retired Five Years Ago