RMD

[SMB]

Participant retires in 2010, the year in which she also attains age 70 1/2. She is requesting a direct rollover of her PS Plan balance to an IRA.

Must she receive her 2010 RMD from the Plan before her rollover is processed? Or, since she could defer her initial RMD until 04/01/2011, could she, instead, opt to have her 2010 RMD paid from her rollover IRA?

[rcline46]

She must take the RMD before the rollover.

[jpod]

Unless a law is enacted waiving MRDs for 2010. At least one bill is pending, but I am not making any prediction as to the likelihood of passage. Nevertheless, some people are deferring MRDs until the last minute just in case. In your case, can the distribution/direct rollover be deferred until the last minute?

[SMB]

Thanks -suspected as much.

And, probably not - unless something relating to RMD waivers for 2010 comes out really soon.