Required minimum distribution age
If you are no longer working, distribution of Defined Benefit Program benefits must begin by April 1 of the year after you reach your required minimum distribution age. Handbook p. 121, Section 401(a)(9)-Required minimum distribution
| Born | Age |
|---|---|
| On or before Jun 30, 1949 | 70.5 |
| Jul 1, 1949 to Dec 31, 1950 | 72 |
| On or after Jan 1, 1951 | 73 |
What the handbook says
- Federal income tax is withheld from your benefit unless you opt out; California tax is also withheld for California residents. Defaults: federal single with no adjustments; California married with three allowances.p. 120, Income tax withholding
- If you live outside California, your CalSTRS benefit isn't subject to California tax, though your own state may tax it. CalSTRS can't withhold for other states.p. 121, Tax withholding for out-of-state residents
- If you made after-tax contributions, part of your benefit may be tax-free; CalSTRS uses the IRS Simplified Method.p. 120, Income tax withholding
- Eligible rollover distributions paid to you have mandatory 20% federal withholding and 2% California withholding (unless you opt out or are a nonresident).p. 120, Eligible rollover distributions
- Required minimum distribution age: 70 1/2 if born on or before June 30, 1949; 72 if born July 1, 1949 to Dec. 31, 1950; 73 if born on or after January 1, 1951. Payments must start by April 1 of the following year if you're no longer working.p. 121, Section 401(a)(9)-Required minimum distribution
- IRC 415(b) limits benefits to $210,622 at age 60 in 2026 (lower below 60, higher above); the Replacement Benefits Program pays the excess for 2% at 60 members.p. 122, Section 415(b) limit
- Most employers 'pick up' your contributions under IRC 414(h)(2), so you don't pay income tax on them until they're paid out.p. 121, Employer pick-up of contributions
The federal benefit limit is given only for age 60.
We don't apply it in the calculator.
p. 122, Section 415(b) limitQuestions
Is my CalSTRS pension taxable?
Yes, for federal income tax, except any part that comes from after-tax contributions. California taxes it if you live in California.
If I move out of California, does California tax my pension?
No. Nonresidents aren't subject to California tax on the benefit. Your new state may tax it, and CalSTRS can't withhold for other states.
This is general information from the CalSTRS handbook, not tax advice. A tax professional can help with your situation.
Source: CalSTRS Member Handbook, 2026 edition (Jan. 1, 2026 - June 30, 2027), pp. 120, 121, 122. Last reviewed .