Leaderboard

Years ago, I seem to remember that a person subject to RMD, the first distribution(s) of the year would go toward the RMD. Not "may" or "can" but "will." If the money is rolled over, the plan satisfied its RMD duty, but there is a problem with where the money landed. (I could be wrong)

I disagree with the recordkeeping platform. The "payment period" is between January 1st of the year he meets both conditions to April 1st of the following year. 2013 is the year he turns age 70 1/2; regardless of the actual day. Therefore, terminating employment triggers the RMD in the year; and the 1st distribution made should be used to satisfy the RMD (meaning it would not be eligible for rollover). This would be different if he were still employed and requesting a distribution. In such event, no RMD would be due for the year until he actually terminates. He has an option of whether to terminate employment. I don't think he has an option on whether he turns age 70 1/2 during the year. Good Luck!