Calculation of Pre-59½ IRA Withdrawals (Posted February 8, 2003) Technical Tip 90: The following question and answer were from the IRS Q&A Session at the 2001 ASPPA Annual Conference: I have been asked to okay an amount for annual withdrawal from an IRA starting before age 59½. To get the amount the client wants to receive, we would need to use an interest rate in excess of 7% and UP-84 mortality. What is a reasonable interest rate and mortality rate? Also, is 175% of the mid-term AFR a reasonable rate? Response: Any mortality table used for 401(a)(4) purposes or used for current estate tax purposes would be considered reasonable. Any interest rate up to 120% of the Federal mid-term rate of the time of the calculation would be considered reasonable. View all Tips © 2012 Reish Luftman Reicher & Cohen, a Professional Corporation Important notice: Answers are provided as general guidance on the subjects covered in the question and are not provided as legal advice to the questioner's situation. Any legal issues should be reviewed by your legal counsel to apply the law to the particular facts of your situation.