Are RMDs required for 401K if still employed

[curiousgeorge]

Some say "Yes"; some say "No". Call to IRS was a half-hour 'On Hold" while phone agent was checking.

What say the Tax Experts?
Thanks much!

[mwcpa]

the yes and no answers are correct, because it "depends".....
www.irs.gov/retirement/participant/article/0,,id=211444,00.html

I added emphasis

"401(k), profit-sharing, 403(b), or other defined contribution plan
Generally, April 1 following the later of the calendar year in which you:
reach age 70½, or
retire.
Terms of the plan govern. The plan’s terms may allow you to wait until the year you actually retire to take your first RMD (unless you are a 5% owner). Alternatively, a plan may require you to begin receiving distributions by April 1 of the year after you reach age 70½, even if you have not retired.

5% owners. If you own 5% or more of the business sponsoring the plan, then you must begin receiving distributions by April 1 of the year after the calendar year in which you reach age 70½."

[curiousgeorge]

Good Morning mwcpa,

As always, many thanks.

G.