RMD from Simple IRA
If client is over age 70.5, still working, and wishes to contribute to Simple IRA offered by his employer can he do so not have to take the RMD he would otherwise have to take out of that Simple if he were not working and contributing?
Permalink Submitted by Alan - IRA critic on Thu, 2016-02-25 22:48
No. Because a SEP or SIMPLE IRA is an IRA account, the still working RMD exception does not apply. Client can contribute but must also start RMDs from the SIMPLE IRA at 70.5.