Retirement Plan Distribution Exception
2019 – 03/07 The rules governing retirement plan distributions are strict, but there may be an exception. Generally, participants in qualified retirement plans must begin taking distributions from their plans by April 1 of the year after they turn 70-1/2, or face steep penalties. But this doesn’t apply to those who continue working for the entire year in which they turn 70-1/2. If the plan allows it, these employees can wait until April 1 of the year AFTER they retire to start receiving distributions. Contact us if you have questions.