When RMDs start
Required minimum distributions (RMDs) are the amounts the IRS requires you to withdraw each year from traditional IRAs, SEP and SIMPLE IRAs and most workplace plans such as 401(k) and 403(b) accounts. After the SECURE 2.0 Act, the starting age is 73 if you were born from 1951 through 1959, and 75 if you were born in 1960 or later. Roth IRAs have no RMDs for the original owner, and designated Roth accounts in workplace plans no longer require them either. The IRS describes the rule at “Retirement topics: Required minimum distributions” and in Publication 590-B.
The formula
Your RMD for a year equals your account balance on December 31 of the previous year divided by the distribution period for your age in the Uniform Lifetime Table. At 73 the divisor is 26.5, so a $500,000 balance gives an RMD of $18,868. At 75 the divisor is 24.6, at 80 it is 20.2, at 85 it is 16.0 and at 90 it is 12.2. Because the divisor shrinks while you age, the required percentage grows from about 3.8% at 73 to about 8.2% at 90.
| Age | Divisor | Age | Divisor |
|---|---|---|---|
| 73 | 26.5 | 85 | 16.0 |
| 75 | 24.6 | 90 | 12.2 |
| 78 | 22.0 | 95 | 8.9 |
| 80 | 20.2 | 100 | 6.4 |
Deadlines and the first-year trap
Each later RMD is due by December 31. The first one can be delayed until April 1 of the following year, but then you must take two RMDs in that year, which can push you into a higher bracket. Many people take the first RMD by December 31 of the year they reach the starting age to avoid bunching income. If you miss an RMD or take too little, the excise tax is 25% of the shortfall, reduced to 10% if you correct it within two years. You can ask the IRS to waive it for reasonable cause on Form 5329.
Using a qualified charitable distribution
If you are 70½ or older, you can send money directly from an IRA to a qualified charity, up to $111,000 per person in 2026. This qualified charitable distribution (QCD) counts toward your RMD but is excluded from your taxable income, which beats the deduction you would otherwise claim because it also keeps your adjusted gross income lower. Enter your planned QCD above to see the estimated tax saved at your marginal rate. QCDs cannot be made from 401(k)s and cannot go to donor-advised funds. They are especially valuable now that non-itemizers get only a small charity deduction.
Planning ideas
- Roth conversions in the years before RMDs begin can reduce later required withdrawals; see the Roth conversion guide.
- Withholding on the RMD can cover estimated tax; you can elect it when you take the distribution.
- Inherited accounts follow different rules, including a 10-year payout for most non-spouse beneficiaries.
Read the RMD guide for the details.