RMD – when can one start it?
I have a client who turns 70 1/5 on June 23, 2010. He wants to take his RMD now. Can he take it now? , or does he have to wait until He turns 70.5 yrs first.
I read the law to say that he can take it anytime during the year he turns 70.5 yrs. Is that correct? Thanks.
Permalink Submitted by Alan Spross on Wed, 2010-04-14 01:15
Yes, he can take it anytime this year or as late as 4/1/2011. Since 2010 is the year he turns 70.5, the first distribution he takes this year is deemed to be credited against his RMD automatically. Finally, if he is going to convert any amounts to a Roth IRA, he must take his RMD first and then convert any additional amounts he chooses.
Permalink Submitted by Susan Kendall on Wed, 2010-04-14 01:23
Thank you for confirming.