Q: My client’s CPA has told him he must take a required minimum distribution (RMD) for 2015. The client is age 74, and retired from full-time work with a school district in July; however, the school district rehired him in October to work on a special project for the district. He spends 20-25 hours per week working for the district. Must he take an RMD for 2015?
A: In all likelihood, he is not required to take the 2015 RMD because he is still working for the employer. He should be alert to the fact, however, that the RMD must be taken in the first year that he severs the relationship!