<html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 3-12C-1901 - General rule.</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s5dc14d26cf844cd8862454796d45ba73Normal { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s5dc14d26cf844cd8862454796d45ba73SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s5dc14d26cf844cd8862454796d45ba73CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s5dc14d26cf844cd8862454796d45ba73Statute { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; 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font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont-000001 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s5dc14d26cf844cd8862454796d45ba73SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 3-12C-1901 - General rule."><meta property="og:description" content="SDLRC Codified Law 3-12C-1901 - General rule."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/3-12C-1901"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73Normal"><a href="https://sdlegislature.gov/Statutes?Statute=3-12C-1901" rel="noopener"><span class="s5dc14d26cf844cd8862454796d45ba73SENU">3-12C-1901</span></a><span xml:space="preserve" class="s5dc14d26cf844cd8862454796d45ba73SENU">. </span><span class="s5dc14d26cf844cd8862454796d45ba73CL">General rule.</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73Statute"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">The system shall pay all benefits in accordance with a good faith interpretation of the requirements in § 401(a)(9) of the Internal Revenue Code and the regulations in effect under that section, as applicable to a governmental plan within the meaning of section 414(d) of the Internal Revenue Code.</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73Statute"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">The member's entire interest must be distributed, or begin to be distributed, by the required beginning date, which is April first of the calendar year following the later of:</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73StatuteNumber1"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">(1)    The calendar year in which the member reaches the applicable age, which is determined as follows:</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73StatuteNumber2"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">(a)    If the member was born before July 1, 1949, the applicable age is seventy and one-half;</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73StatuteNumber2"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">(b)    If the member attained age seventy-two before January 1, 2023, the applicable age is seventy-two;</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73StatuteNumber2"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">(c)    If the member attains age seventy-two after December 31, 2022, the applicable age is seventy-three; or</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73StatuteNumber2"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">(d)    Effective January 1, 2033, applicable age shall have the meaning set forth in § 401(a)(9)(C)(v) of the Internal Revenue Code; or</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73StatuteNumber1"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">(2)    The calendar year in which the member retires and separates from service with the member's employer.</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73Statute"><span class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont">A member or beneficiary eligible for benefits must apply for benefits in order to commence distribution of benefits. The system, pursuant to a qualified domestic relations order, may establish separate benefits for a member and alternate payee.</span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73Normal"><span xml:space="preserve" class="s5dc14d26cf844cd8862454796d45ba73000000"> </span></p><p dir="ltr" class="s5dc14d26cf844cd8862454796d45ba73NoIndent"><span xml:space="preserve" class="s5dc14d26cf844cd8862454796d45ba73DefaultParagraphFont-000001">Source: </span><span class="s5dc14d26cf844cd8862454796d45ba73SCL">SL 2021, ch 28, § 2; SL 2024, ch 21, § 2.</span></p></div></body></html>