Vanguard Mutual Funds — Account service
On the 3rd of January 2017 I signed on to my Vanguard account to see if my monthly RMD was processed. It was not. I then went into account to see if a transaction had been processed. It had not. There was a highlighted banner (see attachment) on the account asking me enter the information requested below to set up your RMD withdrawals. The print was especially small and I had a hard time reading what was posted. I started the process and it asked me to select a date for the revised RMD amount so I selected February 1st for the next monthly amount or so I thought.
Since I first set up my RMD distribution four years ago I set it up to be withdrawn on the 1st of each month starting in January 2013. I never had a problem until now. I never received any prior notification that changes to my RMD were necessary. I received your last secure email on January 10, 2017 and it stated: “that the reason our January 1, 2017 automatic withdrawal did not run was because it was a non-business day. When a transaction request falls on a non-business day, it will automatically run the business day prior which would have been December 30, 2016. Your monthly automatic withdrawals
Updated by JABrandenburg, Jan 27, 2017
are set up through our Required Minimum Distribution (RMD) Service which is designed to not distribute more than your annual RMD. If this transaction would have run as scheduled, you would have had 13 distributions in 2016 rather than 12”.