Required Minimum Distributions: IRAs, pensions, etc.

Required Minimum Distributions: IRAs, pensions, etc.

RMD!!
Did you turn age 70 1/2?
Did you take your Required Minimum Distribution from your IRA, SEP or Simple? Or from your retirement plan if required? 
If so, you can rest easy…..For IRA’s, SEPs and SIMPLEs, YOU MUST TAKE YOUR RMD by April 1 of the year following you year you turn 70 1/2.

There is a 50% penalty if you don’t take your RMD when required. Read more here.

For 401k, profit-sharing, 403b or other defined contribution plans you must take it by April 1 following the later of the year you: reach 70 1/2 or retire.

For the first year you generally will have TWO required distributions: One by April 1st for the year you turned 70 1/2 and one for the current year.    To avoid this you may take your first RMD during the year you turn 70 1/2.
For each subsequent year you must take the RMD by December 31st.

Linda Reinhardt

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