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I don't work on them. But since they are a type of DB Plan I would assume they would have to satisfy the RMD rules just like any other DB plan would. One way, presumably would be to start annuity payments under the normal form or optional form with spousal consent.

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Jakyasar:  As a Defined Benefit Plan, Fully Insured Plans under Section 412(e)(3) are subject to the same RMD rules with the exception of the RMD is based only on the vested portion of the account balance.  These Plans also usually use the annuity mentod and the terms and conditions of the annuity (or annuity and life insurnace) contracts would dictate the payout.  Another method I've experienced, which is the norm, is either the contracts are surrender, the first RMD taken, and the remainder transferred to an IRA, or in some cases the annuity contract is "non-transferrable" (or some Carriers have IRA amendments written into their contracts) and removed from the Plan then annuitized.

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