Riley participates in his employer's 401(k)plan.He retired in 2019 at age 75.When must Riley receive his distribution pertaining to 2019 to avoid minimum distribution penalties?

Question

Quizplus · Accepted Answer

The required minimum distribution for the year in which the employee turns age 70 1/2 or later needs to be taken by April 1 of the following year. As Riley retired at age 75, he must take his distribution for 2019 by April 1, 2020, to avoid minimum distribution penalties. Therefore, choice B is the correct option.

Riley Participates in His Employer's 401(k)plan