Substantial Equal Periodic Payments (SEPP) and 1202 Stock (QSBS)

9:45 AM - 10:45 AM
San Diego C

This session will be presented in two parts. Part one will cover Substantial Equal Period Payments (SEPP), also known as 72(t). For many clients, their only source of savings is in their retirement plans. However, if they take distributions before age 59 1/2, there is the 10% early distribution tax. 72(t) is one of the exceptions, but there are rules that need to be followed.

The second half of this session will review QSBS - Qualified Small Business Stock, also known as 1202 stock. If the stock qualifies, a client may exclude up to $10 million or more from capital gains. This session will review how to take advantage of this very important tax break.

Learning Objectives: 

  1. Determine how to take advantage of Substantial Equal Periodic Payments to avoid the 10% early distribution tax
  2. Learn to help your clients save a substantial amount of capital gains, which may be hiding in plain sight
  3. Understand the tax and financial planning alternatives to SEPP