Riley participates in his employer's 401(k) plan. He retired in 2014 at age 75. When must Riley receive his distribution pertaining to 2014 to avoid minimum distribution penalties?

Question

Quizplus · Accepted Answer

Riley must receive his distribution pertaining to 2014 by April 1, 2015 to avoid minimum distribution penalties. The deadline for taking the first required minimum distribution from a 401(k) plan is April 1 of the year following the year in which the participant turns 70 1/2 or retires, whichever is later. Since Riley retired in 2014 at age 75, he has until April 1, 2015 to take his first required minimum distribution.

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