RMD Calculator
Calculate your Required Minimum Distributions (RMDs) from traditional IRAs, 401(k)s, and other qualified retirement accounts. RMDs must begin by April 1 of the year following the year you turn 73.
RMD Summary
Account Balance:
$0
Your Age:
0
Life Expectancy:
0.0 years
Required RMD:
$0
RMD as % of Balance:
0%
RMD Schedule
RMD Start Year:
0
Deadline:
-
Next RMD Year:
0
Status:
-
Tax Information
Tax Rate:
0%
Est. Taxes Owed:
$0
After-Tax Amount:
$0
Understanding Required Minimum Distributions
Required Minimum Distributions (RMDs) are mandatory withdrawals from traditional retirement accounts that must begin when you reach age 73. The IRS requires these distributions to ensure that retirement savings are eventually taxed.
RMD Age Requirements
When RMDs Begin
SECURE Act 2.0 (2023)
- RMD age increased to 73
- Applies to those born 1951-1959
- Further increases planned
- Gradual implementation
Future Changes
- Age 74 for 1960 births
- Age 75 for 1961-1962 births
- Age 76+ for 1963+ births
- Subject to future legislation
How RMDs Are Calculated
The RMD Formula
RMD = Account Balance ÷ Life Expectancy Factor
Account Balance
Value on December 31 of previous year
For inherited accounts: value at inheritance
Life Expectancy
From IRS life expectancy tables
Decreases each year
Based on age and beneficiary
Distribution
Must be taken by April 1
Taxed as ordinary income
Can be satisfied by QCDs
Life Expectancy Tables
| Age | Single Life | Joint Life (Equal Ages) | Joint Life (10+ Years Younger) |
|---|---|---|---|
| 73 | 26.5 | 25.5 | 26.5 |
| 74 | 25.5 | 24.6 | 25.5 |
| 75 | 24.6 | 23.7 | 24.6 |
| 80 | 18.7 | 17.9 | 18.7 |
| 85 | 14.8 | 14.1 | 14.8 |
Accounts Subject to RMDs
Subject to RMDs
- Traditional IRAs
- 401(k) plans
- 403(b) plans
- SEP IRAs
- SIMPLE IRAs
- Profit-sharing plans
Not Subject to RMDs
- Roth IRAs
- Roth 401(k)s
- Health Savings Accounts (HSAs)
- Qualified charitable distributions
- Still working 401(k)s (some cases)
RMD Deadlines and Penalties
| Timeline | Deadline | Penalty | Notes |
|---|---|---|---|
| First RMD | April 1 following year you turn 73 | 25% of undistributed amount | Can delay until December 31 |
| Subsequent RMDs | December 31 each year | 25% of shortfall | No extensions available |
| Late First RMD | After April 1 | 50% of undistributed amount | Higher penalty for first year |
RMD Strategies
Tax-Efficient Strategies
- Qualified Charitable Distributions (QCDs)
- Convert to Roth IRA
- Time withdrawals with lower income years
- Use RMDs to fund required minimum distributions
- Consider tax-loss harvesting
Planning Considerations
- Impact on Medicare premiums
- Social Security taxation
- State income tax implications
- Effect on other retirement income
- Beneficiary designations
Still Working Exception
401(k) Still Working Rule
Eligibility
- Still employed by the company
- 5% ownership threshold not met
- Applies only to current employer's plan
- Not available for IRAs
Benefits
- Delay RMDs until retirement
- Continue tax-deferred growth
- Required for 401(k) plans only
- Check with plan administrator
Key Takeaways
- RMDs begin at age 73 (increasing to 75+ for younger individuals)
- Calculated using account balance divided by life expectancy
- Mandatory withdrawals prevent indefinite tax deferral
- 25% penalty for missed RMDs (50% for first-year miss)
- Roth accounts are not subject to RMDs
- Still working exception available for 401(k)s
- Qualified Charitable Distributions can satisfy RMDs
- Life expectancy factors decrease each year
- Beneficiary designations affect calculation method
- Consult tax professional for personalized advice