Required Minimum Distribution (RMD) Information
The Internal Revenue Service (IRS) generally requires that a participant with an interest in a retirement benefit must take a Required Minimum Distribution (RMD) from that benefit. This must be done by April 1 of the calendar year following the year in which you attain 70 ½ years of age or by April 1 following the year in which you retire, whichever is later.
If you are still working in a covered position, or for a PERF or TRF-sponsored employer through Dec. 31, you are not required to take an RMD. When you leave employment, you will be required to take an RMD or you may be subject to a 50 percent penalty by the IRS due to a late distribution.
Visit the IRS Web site at http://www.irs.gov/Retirement-Plans/Retirement-Plans-FAQs-regarding-Required-Minimum-Distributions for a list of frequently asked questions (FAQs) regarding RMDs.
You must complete the RMD Retirement Application if:
- You have at least 10 years of creditable service and are no longer working in a covered position, you have not begun your retirement benefit and you will be age 70 ½ by Dec. 31.
You must complete the RMD Application for Distribution of Contributions if:
- You have less than 10 years of creditable service and are no longer working in a covered position, or with a PERF or TRF-sponsored employer, and otherwise not eligible to receive a pension, or if
- You deferred receipt of your Annuity Savings Account (ASA) at retirement and will be age 70 ½ by Dec. 31, or if
- Your deceased spouse would have been age 70 ½ by Dec. 31, and did not take a distribution from his or her ASA and you are the beneficiary.
You must request the RMD Application for Distribution of Contributions from PERF’s Customer Service Center by calling (888) 526-1687. The application must be completed and mailed back to PERF.
Or, you may request a distribution package online:
- Go to http://www.inprs.in.gov/, click "Member Login" and log in to your account,
- Click on "Actions" and "Request a Final Distribution" to have a package mailed to you.
If PERF does not receive your application by Feb. 1, and you will be age 70 ½ by Dec. 31, you will be subject to a mandatory distribution of any retirement and/or ASA funds to which you are entitled. The distribution cannot be reversed once it is processed.
If you have reached the age requirement of 70 ½ before submitting the RMD Retirement Application or the RMD Application for Distribution of Contributions, PERF is required to adjust your benefit for any IRS imposed penalties. Please see 35 IAC 13-1-1 for more detailed information regarding PERF's RMD process.
Contact PERF’s Customer Service Center toll-free at (888) 526-1687 with your concerns. Business hours are Monday through Friday from 8 a.m. to 8 p.m. EST, or e-mail questions to questions@inprs.in.gov.
