RMD Calculator

An RMD is the minimum amount you must withdraw annually from tax-deferred retirement accounts like Traditional IRAs, 401(k)s, 403(b)s, and 457(b)s. The IRS requires these withdrawals to ensure that tax-deferred savings are eventually taxed as income.

Under the SECURE 2.0 Act, RMDs begin at age 73 for those turning 73 in 2024 or later. The RMD start age increases to 75 starting in 2033. You must take your first RMD by April 1 of the year following the year you turn 73, and subsequent RMDs by December 31 each year.

Your RMD is calculated by dividing your retirement account balance (as of December 31 of the prior year) by a life expectancy factor from the IRS Uniform Lifetime Table. If your spouse is the sole beneficiary and is more than 10 years younger, you may use the Joint Life and Last Survivor Table, which results in a lower RMD.

The penalty for missing an RMD was reduced by the SECURE 2.0 Act from 50% to 25% of the shortfall amount. If you correct the error in a timely manner, the penalty may be further reduced to 10%.