457 plans & RMDs

[jevd]

I know that Government 457(b)  plans are subject to RMDs. I'm unsure if Non-governmental 457plans and non-qualified deferred comp plans are subject to these rules. I believe not but have not been involved in these plans for a long time. Can someone sort these out for me? 

 

Thanks

[ETA Consulting LLC]

There is no exemption from RMDs for non-governmental 457(b) plans.

Good Luck!

[Flyboyjohn]

Disagree with ETA since non-governmental 457(b) plans are essentially non-qualified plans for tax exempt entities, wondering if you have a cite?

[spiritrider]

How about something as simple as:

26 U.S. Code § 457 - Deferred compensation plans of State and local governments and tax-exempt organizations, (d) Distribution requirements, (2) Minimum distribution requirements

A plan meets the minimum distribution requirements of this paragraph if such plan meets the requirements of section 401(a)(9).

And if that is not enough see:

26 CFR 1.457-6 - Timing of distributions under eligible plans, (d) Minimum required distributions for eligible plans.

[Flyboyjohn]

I stand corrected and educated, thanks.

[jevd]

Thanks. As I thought about non-governmental 457 plans. Are non-qualified deferred comp Top Hat plans exempt from RMD's as they are generally non-funded.

 

[CuseFan]

yes, their distribution timing requirements are generally governed by IRC Section 409A