RMD -Age 75 And Now Retired

[zeros]

Client retired in November 2010 from her part time where her 401K is. She is 75 years old and has not taken any RMD because she was still employed. Would she have until April 2011 to take her first RMD?

[ChEAr$]

Client retired in November 2010 from her part time where her 401K is. She is 75 years old and has not taken any RMD because she was still employed. Would she have until April 2011 to take her first RMD?

Since this is a 401K plan and not the usual IRA's that we're accustomed to, she should consult plan administrator to find out.
However the administrator is required to advise her as to the first year she will be required to begin distributions, and I think that will be (anytime) during 2011, the year after retirement.

Does IRS publication say anything about it?

[Kram BergGold]

TTB page 13-23

Ttb Says 04/01/2011

See Page 13-23

[New York Enrolled Agent]

Ttb Says 04/01/2011

See Page 13-23

IRC §401(a)(9)(c) says the same:

(C) Required beginning date. For purposes of this paragraph—

(i) In general. The term “required beginning date” means April 1 of the calendar year following the later of—

(I) the calendar year in which the employee attains age 70 1/2, or

(II) the calendar year in which the employee retires

This assumes the employee is not a 5% owner