If you turned 70 1/2 last year, you must begin to take required minimum distributions from IRAs and other tax-deferred retirement plans (such as the Thrift Savings Plan) by April 1 of this year. The required amount is based on the amount in the account at year-end 2000.
The catch: your second distribution must take place by December 31, 2002, based on the year-end 2001 amount. A couple of exceptions:
If you’re still working you do not have to take distributions from an employer-sponsored plan after age 70 1/2, even though you must take money from your IRA.
If you have converted your IRA to a Roth IRA (and paid the deferred income tax at the time of the conversion), no distributions are required.