2009 Required Minimum Distribution Waived

Due to the current economic environment, there is a temporary relief of the Required Minimum Distribution (RMD) from qualified retirement plans. Normally, if a participant subject to RMDs does not take the distribution in a given year, an excise tax of 50% is assessed against the amount that failed to be distributed. For 2009 ONLY, this excise tax has been waived, thereby making the 2009 RMD "optional".



If you are currently receiving RMDs annually, and wish to take the RMD in 2009, you may do so with no consequences. You do have the option to elect not to receive the RMD if you desire.



Anyone opting not to take an RMD in 2009 will be required to recommence the annual distributions in 2010.



A participant that was subject to the first RMD in 2008, and pushed the distribution out to April 2009 (permissible in the first year of the RMD only), this distribution is still required. The waiver applies only to those distribution applicable for 2009.