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I have an owner who turned 70 1/2 in 2018 and also got a divorce in 2018.  The QDRO was not received in our office until 2019.  The QDRO has the division date for the accounts on 3/31/2018.  The alternate payee will be receiving 100% of the participants account balance.  The participant took his RMD for 2018 by December 31, 2018.  Does he need to take a 2019 RMD or his account balance zero on 12/31/2018 because the alternate payee is receiving 100% of his account balance?  The Alternate payee is not 70 1/2.

My thinking is that his account balance is zero and therefore he does not need to take and RMD in 2019.


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I would say the RMD would need to be paid from the plan, but the Alternate Payee will receive it.  The rules on when a distribution is paid is still tied to the participant in this case.  Now, after that RMD requirement is met, the Alternate Payee (presumably the spouse) will be able to take a full distribution and roll it over.  While it's in QDRO status, RMDs will need to continue (and calculated as if the amounts were still owned by the participant).

Good Luck!

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