What is the current age for starting Required Minimum Distributions (RMDs)?

As of 2026, the general age for beginning Required Minimum Distributions (RMDs) from most tax-deferred retirement accounts is **73**. This age was raised from 72 by the SECURE Act 2.0.

What happens if I miss an RMD deadline?

If you fail to take your full Required Minimum Distribution by the deadline, the IRS imposes an excise tax penalty. As of 2026, this penalty is **25%** of the amount not distributed, which can be reduced to 10% if the shortfall is corrected promptly.

Can I avoid RMDs by converting to a Roth IRA?

Yes, converting funds from a traditional IRA or 401(k) to a Roth IRA can help you avoid future RMDs on those specific assets during your lifetime. Roth IRAs are not subject to RMDs for the original owner, though you will pay income taxes on the converted amount in the year of conversion.

Are Roth IRAs subject to RMDs?

No, Roth IRAs are exempt from Required Minimum Distributions during the original owner's lifetime. However, beneficiaries who inherit a Roth IRA are generally subject to RMD rules, typically the 10-year distribution rule, though the distributions themselves are tax-free.

Can I use my RMD for charitable donations?

Yes, if you are age 70½ or older, you can make a Qualified Charitable Distribution (QCD) directly from your IRA to an eligible charity. This distribution counts towards your RMD for the year and is excluded from your taxable income, up to a maximum of $105,000 as of 2026.

How do RMDs work if I'm still employed?

If you are still working for the employer sponsoring your 401(k) or 403(b) plan at age 73 and are not a 5% owner, you can typically delay RMDs from that specific plan until you retire. However, this "still-working exception" does not apply to traditional IRAs; you must still take RMDs from your IRAs.

What is the 10-year rule for inherited IRAs?

The 10-year rule generally applies to non-spousal beneficiaries who inherited an IRA from someone who died after December 31, 2019. It requires the entire inherited account to be distributed by the end of the calendar year containing the 10th anniversary of the original owner's death. If the original owner had already started RMDs, the beneficiary must also take annual RMDs during years 1-9.

Required Minimum Distributions: Rules & Strategies | One…

📅 Last Updated: July 8, 2026

Required Minimum Distributions: Rules, Deadlines, and Smart Strategies As you approach retirement, the focus often shifts from accumulating wealth to preserving and distributing it. For many, a significant portion of their retirement savings resides in tax-deferred accounts like 401(k)s and traditional IRAs. While these accounts offer valuable tax benefits during your working years, the IRS eventually requires you to start withdrawing money from them. These mandatory withdrawals are known as Required Minimum Distributions, or RMDs. Understanding RMD rules, deadlines, and effective strategies is crucial for managing your retirement income, avoiding costly penalties, and optimizing your tax situation. Navigating RMDs can be complex, but with the right knowledge, you can ensure a smooth transition into your distribution phase. > Required Minimum Distributions (RMDs) Definition: Required Minimum Distributions are annual withdrawals that the IRS mandates you take from most tax-deferred retirement accounts once you reach a certain age, typically 73 as of

2026. These distributions ensure that taxes are eventually paid on the pre-tax contributions and earnings that have grown tax-deferred over decades. Understanding the Basics of Required Minimum Distributions Required Minimum Distributions (RMDs) are a fundamental aspect of retirement planning for many Americans. They represent the IRS's mechanism for collecting deferred taxes on retirement savings that have grown tax-free for years. Failing to take your RMDs can result in severe penalties, making a clear understanding of these rules essential for anyone with tax-deferred retirement accounts. What Accounts Are Subject to RMDs? Not all retirement accounts are subject to RMDs. The rules primarily apply to tax-deferred accounts where contributions were made pre-tax or grew tax-deferred. Understanding which accounts fall under this umbrella is the first step in RMD compliance. Most employer-sponsored plans are subject to RMDs. This includes traditional 401(k)s, 403(b)s, 457(b)s, and profit-sharing plans. If you have multiple such accounts, the

RMD for each must be calculated separately. However, you can often aggregate the RMDs from multiple 403(b) accounts and take the total from just one 403(b) account. This aggregation rule does not apply to 401(k)s; each 401(k) requires its own specific distribution. Traditional IRAs and SEP IRAs are also subject to RMDs. Similar to 403(b)s, if you have multiple traditional IRA accounts, you can calculate the total RMD for all of them and withdraw the entire amount from any one or combination of your traditional IRAs. This flexibility can simplify the withdrawal process. SIMPLE IRAs are also included in the RMD requirements. Crucially, Roth IRAs are exempt from RMDs during the original owner's lifetime. This is a significant advantage of Roth accounts, as contributions are made with after-tax dollars, meaning the IRS has already collected its share. However, beneficiaries of inherited Roth IRAs are subject to RMDs, though the rules

differ slightly. This distinction makes Roth IRAs a powerful tool for estate planning. Key RMD Age and Deadlines The age at which RMDs begin has changed over time, most recently with the SECURE Act 2.0. Staying current with these age requirements is critical to avoid missing your first RMD. As of 2026, the age for beginning RMDs is generally 73. This means if you turned 73 in 2026, your first RMD would be due for the 2026 tax year. The SECURE Act 2.0, enacted in late 2022, raised the RMD age from 72 to 73, effective for individuals who turn 72 after December 31, 2022, and 73 after December 31, 2032. For those who turned 72 in 2022 or earlier, their RMDs would have already begun under the previous rules. Your first RMD deadline is April 1 of the year following the year you turn 73. For example, if you

turn 73 in 2026, your first RMD must be taken by April 1, 2027. However, if you delay your first RMD until April 1 of the following year, you will have to take two RMDs in that year: your first RMD (for the year you turned 73) and your second RMD (for the current year). This could significantly increase your taxable income for that year, potentially pushing you into a higher tax bracket. Subsequent RMDs must be taken by December 31 of each calendar year. For instance, if your first RMD was for 2026 and you delayed it until April 1, 2027, your second RMD (for the 2027 tax year) would still be due by December 31, 2027. This "double RMD" scenario is a common pitfall that individuals should plan for carefully. Calculating Your Required Minimum Distribution Calculating your RMD involves a straightforward formula, but the specific factors can vary.