We all know that April is closely associated with tax season. But for individuals who turned 70 ½ in 2013, April is important for another reason. By April 1, those who passed the 70 ½ mark must take their first required minimum distribution from their retirement accounts.
Without proper guidance, its all too easy for employees to forget about this vital step. If they fail to observe the rule, your companys retirement plan will face consequences. Typically thought of as the employees responsibility, plan sponsors should actually facilitate all aspects of RMDs from alerting participants about them to activating the fund withdrawal.
