What is an RMD?
R-M-D stands for a Required Minimum Distribution.
The Internal Revenue Service (IRS) determines how long participants in Section 403(b) plans such as TRS’ Tax-Deferred Annuity (TDA) Program may defer payment from their TDA accounts. In general, you must begin receiving a distribution from your account if you are retired and are maintaining a TDA account and are turning 73 or older during the year.
The amount you must receive each year is known as an RMD.
TRS offers affected members the chance to receive a payment in the full amount of their RMD. However, TDA withdrawals that are received (and not rolled over) also count toward the distribution requirement for the year .