MDR and 401K

[S T]

If a t/p is still working and contributing to their 401K and turned age 71 on 12/18/05 are they required to take a minimum distribution from their 401K plan?

Sandy

[veritas]

Sandy, When do you sleep?

[S T]

Sleep What is That

There is no time to sleep at tax time. But then when tax time is over I am already in that pattern and a nite owl. My clock just doesn't work right. But remember, I am Calif time which is right now 11PM.

Now if you take a look there are other nite owls as well, like JG, but then I notice that you seem to be also on the West Coast.

Sandy

[S T]

Veritas

Keep posting and we will soon get you to Senior Member status.
I am just posting non tax stuff right now as I am frustrated with several returns and need a diversion.

Sandy

[Bees Knees]

Sandy,

Your 401(k) question is found in TTB, page 13-23, "For a participant in a qualified pension plan, RMD begins by April 1 of the year following the later of the year:
1)The employee turns age 70 1/2, or
2) The year the employee retires."

TTB then goes on to list exceptions.

[Matt Sova]

Original Question

TTB page 13-23

Qualified plans RMD by 4/1 of year following the later of the year:

1) Employee turns 70 1/2
2) Employee retires

Some employer plans require dist at 70 1/2 even though tax law states retirement. 5%+ owners of stock, capital or profit interest must start by age 70 1/2.

Matt