IRS Required Minimum Distribution
The Internal Revenue Service (IRS) requires individuals who will attain age 72 during the current calendar year to make a minimum withdrawal (a refund to the member, not a rollover to another qualified plan) from their retirement plan either during the current calendar year or by March 31st of the next calendar year; failure to do so results in a tax on the member’s retirement account. The Teachers’ Retirement Board (TRB), however, does not issue partial refunds and so we will only process a withdrawal for the entire account balance, and will not process a withdrawal for only the required minimum distribution. A member may choose to roll over their TRB account to another qualified plan such as an IRA and then take the required minimum distribution from that account.