Retirement Accounts
Which retirement account is subject to required minimum distributions (RMDs) during the owner's lifetime?
Roth 401(k) has RMDs. Roth IRA has NO RMDs during owner's lifetime. Roll Roth 401(k) to Roth IRA to avoid.
Complete Analysis & Legal Rationale
Roth 401(k) accounts are subject to RMDs during the owner's lifetime, unlike Roth IRAs which have no RMDs while the owner is alive. However, Roth 401(k) funds can be rolled into a Roth IRA to avoid RMDs.
Distractor Autopsy (Why Other Options Are Traps)
FINRA exam writers design incorrect distractors using specific calculation mistakes and regulatory misconceptions. Review why each option succeeds or fails:
Roth IRAs do NOT have RMDs during the owner's lifetime.
Matches the verified teaching point in the explanation.
Roth 401(k)s ARE subject to RMDs.
Only Roth 401(k)s have RMDs; Roth IRAs do not.
Official Standard: Outline-level citation: item maps to Series 7 topic coverage. Prefer a specific FINRA/SEC/MSRB rule citation in a later author pass.