RMD in year of death

[SMB]

Participant who has been receiving required minimum distributions dies before his 2010 birthday. For his 2010 RMD, do I use his actual age as of his date of death (79) or the age he would have attained in 2010 (80) had he lived?

Thanks!

[Tom Poje]

the only examples I've ever seen appear to use would have attained if they had kept on living. (because you make the normal min distribution and then switch things the following year)

I'd think the same rule would apply to catch-up contributions...e.g. deferred 20,000 before 50th birthday and then died

[SMB]

Tom,

Guess that sort of makes sense, now that I think about it. If the participant had taken his distribution in January of this year - i.e., before his demise - it would have been based of the age he "would have attained" in 2010.

SmB

[Belgarath]

Q–5. For required minimum distributions after an employee's death, what is the applicable distribution period?

A–5. (a) Death on or after the employee's required beginning date. If an employee dies after distribution has begun as determined under A–6 of §1.401(a)(9)–2 (generally on or after the employee's required beginning date), in order to satisfy section 401(a)(9)(B)(i), the applicable distribution period for distribution calendar years after the distribution calendar year containing the employee's date of death is either—

(1) If the employee has a designated beneficiary as of the date determined under A–4 of §1.401(a)(9)–4, the longer of—

(i) The remaining life expectancy of the employee's designated beneficiary determined in accordance with paragraph ©(1) or (2) of this A–5; and

(ii) The remaining life expectancy of the employee determined in accordance with paragraph ©(3) of this A–5; or

(2) If the employee does not have a designated beneficiary as of the date determined under A–4 of §1.401(a)(9)–4, the remaining life expectancy of the employee determined in accordance with paragraph ©(3) of this A–5.

(b) Death before an employee's required beginning date. If an employee dies before distribution has begun, as determined under A–5 of §1.401(a)(9)–2 (generally before the employee's required beginning date), in order to satisfy section 401(a)(9)(B)(iii) or (iv) and the life expectancy rule described in A–1 of §1.401(a)(9)–3, the applicable distribution period for distribution calendar years after the distribution calendar year containing the employee's date of death is determined in accordance with paragraph © of this A–5. See A–4 of §1.401(a)(9)–3 to determine when the 5-year rule in section 401(a)(9)(B)(ii) applies (e.g., there is no designated beneficiary or the 5-year rule is elected or specified by plan provision).

© Life expectancy —(1) Nonspouse designated beneficiary. Except as otherwise provided in paragraph ©(2), the applicable distribution period measured by the beneficiary's remaining life expectancy is determined using the beneficiary's age as of the beneficiary's birthday in the calendar year immediately following the calendar year of the employee's death. In subsequent calendar years, the applicable distribution period is reduced by one for each calendar year that has elapsed after the calendar year immediately following the calendar year of the employee's death.

(2) Spouse designated beneficiary. If the surviving spouse of the employee is the employee's sole beneficiary, the applicable distribution period is measured by the surviving spouse's life expectancy using the surviving spouse's birthday for each distribution calendar year after the calendar year of the employee's death up through the calendar year of the spouse's death. For calendar years after the calendar year of the spouse's death, the applicable distribution period is the life expectancy of the spouse using the age of the spouse as of the spouse's birthday in the calendar year of the spouse's death, reduced by one for each calendar year that has elapsed after the calendar year of the spouse's death.

(3) No designated beneficiary. If the employee does not have a designated beneficiary, the applicable distribution period measured by the employee's remaining life expectancy is the life expectancy of the employee using the age of the employee as of the employee's birthday in the calendar year of the employee's death. In subsequent calendar years the applicable distribution period is reduced by one for each calendar year that has elapsed after the calendar year of the employee's death.

[Bird]

Key phrase from Belgarath's post reads (with my underlining): "...the applicable distribution period for distribution calendar years after the distribution calendar year containing the employee's date of death is either—"

So yes, it is essentially the final lifetime RMD.