RMD first year

[ombskid]

First RMD year is 2013. Participant takes an amount less than the RMD by 12/31/2013. Can he take the balance by 4/1/2014 and be ok?

[Tom Poje]

yes, the only requirement is he take a 'minimal' amount by 4/1.

he will have a 1099r for 2013

and then a 1099r for 2014 for the additional amount (plus the next min distribution by 12/31/2014)

again, at least that is how I understand the rules.

[ombskid]

Thanks

[Lou S.]

Yeah not an issue at all. My mother-in-law was taking regular withdrawals the year she turned 70 1/2 and we didn't realize she hadn't satisfied the RMD until we did her taxes.She just took out more in 1st quarter of following year. Just make sure you don't double count the amount as 2013 and 2014 RMD because you need to take the full 2014 RMD + the additional amount to satisfy the 2013 RMD that you were short by the prior year.

[masteff]

Here's the legal cite...

Reg 1.402(c )-2 Q&A-7 says in part: "If the total section 401(a)(9) required minimum distribution for a calendar year is not distributed in that calendar year (e.g., when the distribution for the calendar year in which the employee reaches age 701⁄2 is made on the following April 1), the amount that was required but not distributed is added to the amount required to be distributed for the next calendar year in determining the portion of any distribution in the next calendar year that is a required minimum distribution."