RMD for 701/2 year old retiring 12/31/13
John’s birthday is 11/28/42 and he turned 70 1/2 in May 2013. He is employed at a large company and is not a 5% owner. He is retiring 12/31/13.
In 2014, is he required to take a 2013 RMD before April 1 and a 2014 RMD, or does he only need to take a 2014 RMD?
Permalink Submitted by Alan - IRA critic on Wed, 2013-11-20 20:11
Since he is retiring this year, 2013 becomes an RMD distribution year for the employer plan of that company. He must take the 2013 RMD by 4/1/2014 and the 2014 RMD by 12/31/2014. Any IRA rollover done in 2014 should not include both the 2013 and 2014 RMDs.
Permalink Submitted by Andrew Glassberg on Fri, 2013-11-22 02:00
Presumably if the retirement date could be postponed until 1/1/2014 or later, then there would be no RMD for 2013.