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I have not been required to take an RMD from the 401K while I continued to work. Do I need to take an RMD from the 401K money for my 2020 tax year or does it start in 2021?

As already mentioned, the requirement for RMDs in 2020 has been suspended due to the CARES Act, so you shouldn't need to take an RMD for 2020 from your 401(k). If the requirement had not been suspended, it would depend on your plan's rules. Some plans may say if you work even a day during 2020, you are considered to be an employee for that entire year, so you don't need to take an RMD. Others may require you to work a certain number of hours, or through a specific date in order to be an employee long enough to not be required to take an RMD. So you would have needed to ask that question of your plan administrator.

That said, if you are rolling money over into an IRA, and the 401(k) required an RMD, the RMD would generally need to be paid out to you prior to any rollover. Again, your plan administrator should be able to answer that question for you.

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