GLENVIEW, Ill. (May 3, 2106) -- The General Board of Pension and Health Benefits has announced information critical to all clergy and lay participants in the Holston retirement plan who are not yet retired but who are approaching the age of 70 years and six months.
The Internal Revenue Service (IRS) requires retirement-plan participants to begin taking annual distributions and/or begin receiving monthly benefit payments from payments from their retirement accounts -- called required minimum distributions (RMDs). These distributions must begin at retirement or the year after a participant reaches age 70½ (whichever is later).
The RMD brochure will be sent to all participants who must begin taking RMDs this year. RMDs will be automatically distributed by the General Board of Pension and Health Benefits. The payment will comprise the RMD amount from each plan minus any payments already received during the current year from that plan.
Participants in defined benefit plans (e.g., the Clergy Retirement Security Program, the Ministerial Pension Plan and the Pre-82 Plan) who are subject to RMDs must begin receiving their monthly benefits. If the benefits for these plans have not been scheduled to begin by the RMD date, notices and applications for benefits will be mailed by May 31, 2016. Participants who do not receive an application may request one by contacting the General Board at 1-800-851-2201 on business days from 8 a.m. to 6 p.m. (CST).
Lump-sum payments will be automatically distributed to RMD participants who have less than $5,000 in General Board-administered plans, in accordance with plan rules.
For more information, contact Ken Luton at (865) 690-4080 or kenluton@Holston.org.