RMD after 70 1/2 working retired rehired
Can someone help with this situation below?
Teacher turned 70 ½ on December 30, 2017.
She retired mid-year in 2017.
She is receiving a teacher pension from her school district.
In March 2018, she was re-hired for a different position as a W-2 part time worker with the same school district.
She took her RMD’s for 2017 prior to April 1, 2018.
She now has to deal with her 2018 RMD’s. She is working for the same school district this year and may continue to work for them next year. She is able to contribute to her 403b this year.
Does she have to take an RMD for 2018 from her current employer or can she wait till she retires again?
Permalink Submitted by Alan - IRA critic on Wed, 2018-06-20 16:58
Once RMDs start for a qualified plan, they must continue even if re employed full time or part time. But if she could offset those taxable RMDs if she can contribute more than she otherwise would up to the amount of the RMD.