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February 17, 2020

When Do I reach Age 70 ½ for RMD Purposes?

Your Guide

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Definition

You reach age 70 1/2 ( 70.5) 6-months after the 70th anniversary of your date-of-birth.

The significance of age 70 1/2

The significance of age 70 ½ is that:

The age is increased to 72 for those who reach age 70 1/2 after 2019.

 

Referring Cite

Treas. Reg. 1.401(a)(9)-2, Q&A 3

Additional Helpful Information

An individual attains age 70½ as of the date six calendar months after the 70th anniversary of the individual’s birth. For example, if an individual’s date of birth was June 30, 1948, the 70th anniversary of such individual’s birth is June 30, 2018.

For those who each age 70 ½ before 2020: Such individual attains age 70 ½ on December 30, 2018 and the required beginning date would be April 1, 2019 . However, if the individual’s date of birth was July 1, 1948, the 70th anniversary of such individual’s birth would be July 1, 2018. Such an individual would then attain age 70 ½ on January 1, 2019 and such individual required beginning date would be April 1, 2020

For employer sponsored retirement plans: if the individual is a 5–percent owner or retired, such individual’s required beginning date is April 1, 2019. Otherwise, the required beginning date could be deferred past age 70 ½  ( 72  as of 2020) until retirement . (Treas. Reg. 1.401(a)(9)-2, Q&A 3).

Written By

Denise Appleby

Denise is CEO of Appleby Retirement Consulting Inc., a firm that provides IRA resources for financial/ tax/legal professionals. She has over 20 years of experience in the retirement plans field, which includes training and technical consultation.

Denise writes and publishes educational /marketing tools for advisors; available at http://irapublications.com. Denise co-authored several books on IRAs

Denise is a graduate of The John Marshall Law School, where she obtained a Masters of Jurisprudence in Employee Benefits, and has earned 5 professional retirement designations.
She has appeared on numerous media programs, sharing her insights on retirement tax laws.

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