RMD and SEP IRA
Can a participant in a SEP IRA of which who works for the firm that is funding said SEP IRA be exempt from RMD’s while employed over age 70 1/2?
Can a participant in a SEP IRA of which who works for the firm that is funding said SEP IRA be exempt from RMD’s while employed over age 70 1/2?
Permalink Submitted by Alan - IRA critic on Fri, 2015-02-13 20:19
No. RMDs must start at 70.5 even though participant is still working because the SEP is subject to the IRA RMD rules. But the contributions can continue simultaneously with the RMDs. The RMDs can also be aggregated with any other IRA accounts participant owns.