top heavy - in-service distributions

[Scuba 401]

i was reading a note in cch pertaining to counting back in-service distributions made over a 5-year period. the note stated that in-service distributions to a key employee that are rolled over to an IRA are counted back. what if the key employee took an in-service in cash and didn't roll it over?

[rcline46]

It does not matter how the in-service was paid, nor the source. It is all counted back.

[austin3515]

Well, if the source was rollover it would not make a difference either way. But otherwise I agree.