Hi Ahmet – I don’t think so, since you’re still employed with the company that also holds the plan. The plan administrator should take care of this. But if you get a letter from the IRS, you can just show that you’re still employed with a copy of a recent paystub and your latest W2.

@james I’ve never heard of this in all my years of being an advisor.

Hi Edward – You’re generally supposed to begin taking RMDs at age 70.5. But I believe there is an exception if you are still working for the plan sponsor. Now if you have 401(k) plans from previous employers, you must begin taking distributions from those. The exception doesn’t apply to non-active employers.

Be careful Mahesh – If you have multiple accounts, the RMDs must come from each account. You can’t do a distribution from one account to cover them all.

Jeff, Thanks for your answer
This will put me in a situation that will cost me money
My 401 has no management fees, moving it into my IRA will incur a management fee

Hi Perry – I believe that since they are separate plans, each has to calculate – and distribute – a separate RMD. If you want it to come out of one account then you may want to consider rolling the 401k over into your IRA. But make sure you aren’t giving up any benefits from the 401k before you make the move.