Series 7 Exam Question 410: Answer and Explanation

Question: 410

At what time must an individual begin withdrawals from a Roth IRA?

• A. At age 59½
• B. At age 72
• C. On April 1st of the year after turning 72
• D. None of the above

Correct Answer: D

Explanation:

D. Withdrawals from a Roth IRA may begin any time after the investor reaches age 59½. However, there's no required beginning date (RBD) or required minimum distribution (RMD) for Roth IRAs like there is for other retirement plans. You need to remember that the money withdrawn from a Roth IRA is tax-free, so the IRS doesn't care when these investors take their money because it isn't getting any of it.