Is RMD required while still working?
Henry Morales
Published Apr 11, 2026
Individuals are required to take RMDs from most retirement accounts once they turn age 72. However, an exemption to the RMD rules – often referred to as the still-working exception – allows some people to delay RMDs until they retire.
What percentage of your 401k Do you have to withdraw at age 70?
Uniform lifetime table
| Age | Applicable divisor |
|---|---|
| 70 | 27.4 |
| 71 | 26.5 |
| 72 | 25.6 |
| 73 | 24.7 |
What happens to TSP when you turn 70?
If you are still working at age 70 1/2 then you may not be required to take RMDs from your TSP until April 1 st of the year after you retire. Once you collect your first RMD, all subsequent distributions have to be taken by December 31st of that year. What if I’m late taking my RMD?
Can a company eliminate the age 70 1 / 2 distribution?
However, the SECURE Act includes broad anti-cutback relief (see “Plan amendments required” below). Employers can now eliminate the age 70-1/2 distribution option and either replace it with a later one or make participants wait until retirement to receive their first distribution.
Can a person continue to work past age 70?
In fact, employers must continue to make employer contributions to the SEP IRA of an employee who is over age 70 ½ if it makes similar contributions to younger employees’ accounts. If the client plans to work past age 70 ½, he or she can avoid RMDs by leaving the funds in the employer-sponsored 401(k).
What are the rules for RMD at age 70?
It’s likely that many of these systems have some sort of logic built around RMDs beginning at age 70 ½, such as: 1 Letters automatically generated to send to clients about their first RMD year; 2 70 ½ ‘birthday’ reminders to send presents, cards, letters, etc.; and 3 Inclusion of such individuals on year-end RMD ‘double-check’ lists. More …
