confused about RMD IRA vs. 403B

All your IRA accounts are deemed to be be just one IRA. If each custodian has reported to you the RMD from the funds that the custodian holds, you can add up all the reported RMDs and take (at least) that total amount out one or more of your IRA accounts, and can leave the remaining IRA accounts untouched till next year. If the custodians have _not_ reported the RMD, you can work out the numbers for yourself (divide the IRA value by the appropriate number listed in the Tables in Publication 590.

On the other hand, each 403b (and also each 401k) needs to be treated separately, and you must take the RMD for each 403b account from that account only; you cannot add up all the 403b RMDs and take that total from any combination of 403b accounts -- the RMD for each 403b account must be taken from that 403b account only. If your 403b is invested in different mutual funds, say, then you can choose which funds you sell to get the cash for the RMD because all that is internal to the 403b plan. What the IRS cares about is the _distribution_ of money from the 403b account which must be at least the RMD amount for that 403b plan.

Dilip Sarwate

The above is poor wording and could easily confuse readers. IRA accounts are never deemed to be one IRA.

The above will only work if the trustee of each account actually knows which life expectancy factor to use for an IRA account. This is not always the case as there are three different tables of life expectancy factors and various elections that can be made.

If the

The RMD should be computed for each separate IRA using the proper life expectancy factor and the result can then be aggregated and taken in any desired manner from IRA account(s).

The above is incorrect. 403(b) required distributions are treated like traditional IRA distributions. You compute the RMD for each 403(b) plan. You may then aggregate the 403(b) RMDs and take the distribution from one or all of your 403(b) plans. It is good practice to compute RMDs for each plan separately before aggregation as it is possible that life expectancy factors are not the same for each 403(b) plan. See the Section 403 regulations for detailed rules.

How can "life expectancy factors" be different for different 403(b)s? Doesn't it depend only on the owner's _present_ age and marital status?

403(b) plans are similar to IRAs in many ways. Many 403(b) plans still do not allow for rollovers upon the death of the owners. There are beneficiary 403(b) plans that use the life expectancy tables for beneficiaries.

That would be different. "Beneficiary" IRAs have individual "life expectancies" and cannot be aggregated; would the "beneficiary" 403(b)s with different "life expectancies" be aggregated? It seems unlikely.

My late mother's 403(b), to the extent that my sister and I inherited it, was rolled over to "beneficiary" IRAs. I don't know the status of the part which my father inherited. He has his own tax and investment advisers, even if he doesn't take the investment advice.