Early Withdrawal

Question: If I turn 70 years of age in August of 2007, when do I have to start withdrawals from my IRA?

Answer: Generally when you turn 70 1/2 you must start taking minimum required withdrawals from your IRA. In your case that would be February 2008.

But there is a loophole that nobody else mentioned! If you are currently employed, and continue working for that same employer past the age of 70 1/2, you do not have to start withdrawing from that account until you leave that company! You can’t leave that job and work for another company, nor have a layoff, the employment must be continuous with that employer. I know one man who did this until he was 76 and finally got tired of working, and had a real nice nest egg built up.

Tax Law, Real Estate & Credit Tips : IRA Distribution Rules