RMDs · 10 min read
Required Minimum Distributions in 2026: Starting Ages, the Calculation and the Account Rules
Required minimum distributions begin at 73 for people born 1951 through 1959 and at 75 for those born in 1960 or later. Each year’s amount is the prior December 31 balance divided by an IRS life-expectancy factor, 26.5 at age 73. A shortfall carries a 25 percent excise tax, or 10 percent if corrected within the correction window.
Traditional IRAs and workplace plans let savings grow for decades without current tax, but the deferral has an end date. Beginning at an age set by statute, the owner must withdraw a minimum amount every year, and that amount is taxed as ordinary income. The rules are mechanical once laid out. Most of the planning value lies around them, because the size and timing of these withdrawals shape a retiree’s tax brackets, Medicare premiums and estate for the rest of their life.
What follows is educational. RMD calculations for a specific household should be confirmed with the account custodian and a tax professional.
Chart
The required withdrawal rises with age
Required minimum distribution as a percent of the prior December 31 balance (1 divided by the IRS Uniform Lifetime Table factor), ages 73 to 95.
Source: IRS Publication 590-B, Appendix B, Table III (Uniform Lifetime Table) · account owners whose spouse is not more than 10 years younger
View the data
| Age | Life-expectancy factor | Required share of balance |
|---|---|---|
| 73 | 26.5 | 3.77% |
| 74 | 25.5 | 3.92% |
| 75 | 24.6 | 4.07% |
| 76 | 23.7 | 4.22% |
| 77 | 22.9 | 4.37% |
| 78 | 22.0 | 4.55% |
| 79 | 21.1 | 4.74% |
| 80 | 20.2 | 4.95% |
| 81 | 19.4 | 5.15% |
| 82 | 18.5 | 5.41% |
| 83 | 17.7 | 5.65% |
| 84 | 16.8 | 5.95% |
| 85 | 16.0 | 6.25% |
| 86 | 15.2 | 6.58% |
| 87 | 14.4 | 6.94% |
| 88 | 13.7 | 7.30% |
| 89 | 12.9 | 7.75% |
| 90 | 12.2 | 8.20% |
| 91 | 11.5 | 8.70% |
| 92 | 10.8 | 9.26% |
| 93 | 10.1 | 9.90% |
| 94 | 9.5 | 10.53% |
| 95 | 8.9 | 11.24% |
What the RMD Question Is Really Asking
Questions about required minimum distributions tend to break into four parts:
- When? The first distribution year and its deadline, which depend on birth year.
- How much? A balance divided by a factor from an IRS table.
- From where? Which accounts are covered, and which can be combined.
- What then? How the distribution affects taxes, Medicare and giving, and what happens if it is missed.
This guide takes them in order.
When RMDs Begin
The SECURE 2.0 Act raised the starting age in two steps. (26 U.S.C. §401(a)(9)(C); IRS, retirement topics: RMDs)
| Born | Starting age | Example | First RMD year | Deadline for the first RMD |
|---|---|---|---|---|
| 1951 through 1959 | 73 | Born 1953 | 2026 | April 1, 2027 |
| 1960 or later | 75 | Born 1960 | 2035 | April 1, 2036 |
The statute states the second step as applying to anyone who reaches age 74 after December 31, 2032, which is why the change is often described as taking effect in 2033; in practice, the first age-75 RMDs fall in 2035. (26 U.S.C. §401(a)(9)(C))
The first-year deadline
The first RMD may be postponed to April 1 of the year after the owner reaches the starting age. Every later RMD, including the second, is due by December 31. Someone who turns 73 in 2026 can take the 2026 RMD as late as April 1, 2027, but the 2027 RMD is still due by December 31, 2027. Postponing puts two taxable distributions in one year, which can raise the bracket and Medicare premiums two years later. We model both paths before using the delay; the mechanics are in our guide to the first RMD’s two deadlines.
The still-working exception
For a 401(k), 403(b) or similar plan with a current employer, RMDs can generally wait until April 1 of the year after the employee retires, if later than the usual date and if the plan permits. The exception is not available to anyone who owns more than 5 percent of the employer, and it never applies to IRAs. (26 U.S.C. §401(a)(9)(C); IRS, retirement topics: RMDs)
Which Accounts Are Covered, and Which Can Be Combined
| Account | Lifetime RMDs? | How the requirement is satisfied |
|---|---|---|
| Traditional, rollover, SEP and SIMPLE IRAs | Yes | Calculated for each IRA; the total may be taken from any one or more IRAs |
| 403(b) contracts | Yes | Calculated for each contract; the total may be taken from any one or more 403(b) contracts |
| 401(k) plans and governmental 457(b) plans | Yes | Taken separately from each plan |
| Roth IRAs | No, while the owner is alive | Not applicable |
| Designated Roth accounts in 401(k) and 403(b) plans | No, beginning in 2024 | Not applicable |
(IRS, RMD FAQs; IRS, retirement topics: RMDs)
The combining rules run only within a category. An IRA withdrawal never satisfies a 401(k) requirement, and a 401(k) withdrawal never satisfies an IRA requirement. The removal of lifetime RMDs from Roth 401(k) and 403(b) accounts starting in 2024 matters for anyone still saving at work; see Roth 401(k)s without lifetime RMDs. Inherited accounts follow different rules, covered in the inherited IRA 10-year rule.
IRAs combine with IRAs, and 403(b)s with 403(b)s. Every 401(k) and 457(b) stands alone.
How Each Year’s Amount Is Calculated
The formula is a single division:
RMD = account balance on the prior December 31 ÷ the distribution period for the owner’s age that year
Most owners use the Uniform Lifetime Table, which was updated in 2022 to reflect longer life expectancies. Selected factors, applied to a $500,000 balance: (IRS Publication 590-B)
| Age in the distribution year | Distribution period | RMD on $500,000 | Share of the balance |
|---|---|---|---|
| 73 | 26.5 | $18,868 | 3.8% |
| 75 | 24.6 | $20,325 | 4.1% |
| 77 | 22.9 | $21,834 | 4.4% |
| 80 | 20.2 | $24,752 | 5.0% |
| 85 | 16.0 | $31,250 | 6.3% |
The rising percentage is the point to notice. Because the factor shrinks each year, the required share of the account grows, and a balance that keeps compounding can produce larger distributions in the owner’s 80s than in the 70s.
A few further rules shape the result:
- A much younger spouse changes the table. When the sole beneficiary for the whole year is a spouse more than 10 years younger, the owner uses the Joint and Last Survivor Table, which produces a longer distribution period and a smaller RMD. (IRS, RMD FAQs)
- Extra withdrawals do not carry forward. Taking more than the minimum in one year does not reduce the next year’s requirement. (IRS, RMD FAQs)
- An RMD cannot be rolled over or converted. In a year when an RMD is due, the requirement has to be met first; only amounts above it can go to a Roth IRA. (IRS, RMD FAQs; IRS Publication 590-B)
What a Missed RMD Costs
Before SECURE 2.0, a shortfall drew a 50 percent excise tax. The law now sets it at 25 percent of the amount not taken, reduced to 10 percent when the shortfall is corrected within the correction window, which ends by the last day of the second tax year after the year of the miss. (26 U.S.C. §4974) The IRS may also waive the tax for reasonable error when the missed amount has been withdrawn and an explanation is attached to Form 5329. The catch-up distribution is still taxable, and it often lands in the same year as the current RMD, compressing two years of income into one return. Our guide to the missed RMD penalty sets out the correction sequence.
Qualified Charitable Distributions
IRA owners aged 70½ or older can send money directly from an IRA to an eligible charity as a qualified charitable distribution. It counts toward the RMD but is excluded from taxable income, unlike a withdrawal followed by a deduction that helps only itemizers. The 2026 limit is $111,000 per person, or $222,000 for a couple who each have IRAs, and it is indexed for inflation. (IRS Notice 2025-67)
The advantage is largest for households that take the standard deduction, sit near a Medicare IRMAA threshold, or have a taxable share of Social Security that rises with income. The transfer must go directly from the custodian to the charity; a check payable to the owner does not qualify, even if forwarded. The full rules are in our QCD guide.
A Hypothetical Household, Worked Through
This illustration is hypothetical and simplified. It is not based on any client and is not a recommendation. It assumes account balances stay level from one year-end to the next.
A retiree born in 1953 turns 73 in 2026. On December 31, 2025, she holds two IRAs worth $900,000 in total and a former employer’s 401(k) worth $300,000. She gives $10,000 a year to charity.
Her 2026 requirement
| Account | Balance, Dec. 31, 2025 | Factor at 73 | 2026 RMD | Where it must come from |
|---|---|---|---|---|
| IRAs (combined) | $900,000 | 26.5 | $33,962 | Either IRA, or both |
| Former employer 401(k) | $300,000 | 26.5 | $11,321 | That 401(k) only |
| Total | $1,200,000 | $45,283 |
The first-year choice
At 74 in 2027, the factor is 25.5, so on level balances her 2027 RMDs are $900,000 ÷ 25.5 = $35,294 from the IRAs and $300,000 ÷ 25.5 = $11,765 from the 401(k), a total of $47,059. (IRS Publication 590-B)
| Approach | Taxable RMDs in 2026 | Taxable RMDs in 2027 |
|---|---|---|
| Take the first RMD in 2026 | $45,283 | $47,059 |
| Postpone the first RMD to early 2027 | $0 | $45,283 + $47,059 = $92,342 |
Postponing moves $45,283 of income out of 2026 and stacks it onto 2027. Whether that helps depends on the two years’ other income. If 2026 includes a final bonus or a large capital gain, the delay can be sensible; if the years look alike, stacking usually raises the bracket in 2027 and, because Medicare premiums are generally set from the return two years earlier, the premium in 2029. (20 CFR §418.1135)
Adding the gift
If she makes her $10,000 of giving as a qualified charitable distribution from one of her IRAs, it counts toward the $33,962 IRA requirement, leaving $23,962 to withdraw from the IRAs and $11,321 from the 401(k). Her taxable RMD income for 2026 falls from $45,283 to $35,283. The 401(k) portion cannot be given this way; if she rolled the 401(k) to an IRA in a future year, it would join the IRA category for both combining and QCD purposes.
$45,283 due for 2026, of which $11,321 must come from the 401(k). A $10,000 QCD cuts her taxable RMD income to $35,283; postponing the first RMD would put $92,342 on the 2027 return.
How We Approach This in a Plan
We start planning for RMDs years before the first one is due, because the most useful decisions come before the requirement begins.
- Roth conversions before RMDs. Converting part of a traditional IRA in the years between retirement and the starting age shrinks the balance that future RMDs are calculated on, and Roth IRAs have no lifetime RMDs. We size conversions to fill lower brackets without crossing Medicare thresholds; see the window before required withdrawals and Roth conversions: when they pay off.
- Social Security timing. Delaying benefits toward 70 raises the lifetime benefit and can leave room in the early retirement years for conversions; see our Social Security claiming strategy guide.
- Medicare. RMDs are ordinary income and count fully toward IRMAA; we project them against the thresholds in the IRMAA cliff.
- Giving. For charitable households, we route gifts through QCDs from the owner’s IRA and schedule them before other withdrawals.
- Estate and beneficiaries. Beneficiary designations decide which table the owner uses while alive and how heirs must draw the account afterward. We review them alongside the estate plan.
No single step is right on its own. We weigh each against the household’s bracket trajectory, Social Security timing, Medicare exposure and estate goals.
Questions Worth Answering Before You Decide
- In what year does each spouse reach the starting age, 73 or 75?
- Which accounts are subject to RMDs, and which can be combined for withdrawal?
- Is anyone still working, not a 5 percent owner, in a plan that permits delay?
- Should the first RMD be taken in its own year or postponed to April 1?
- Is a spouse more than 10 years younger the sole beneficiary?
- Will charitable gifts be made as QCDs, and from whose IRA?
- How will RMD income interact with tax brackets, Social Security taxation and Medicare premiums two years out?
What This Does Not Mean
- It does not mean the money has to be spent. An RMD must leave the tax-deferred account, but it can be reinvested in a taxable account.
- It does not mean only the minimum can come out. Owners may withdraw more at any time, though extra withdrawals do not reduce future requirements.
- It does not apply to Roth accounts during the owner’s lifetime. Roth IRAs, and since 2024 Roth 401(k) and 403(b) accounts, have no lifetime RMDs.
- It is not personalized advice. Calculations, deadlines and tax treatment should be confirmed with the custodian and a tax professional.
Frequently Asked Questions
Q: At what age do required minimum distributions start?
At 73 for people born 1951 through 1959 and at 75 for those born in 1960 or later. The first RMD can wait until April 1 of the following year; every later one is due by December 31.
Q: How is an RMD calculated?
Divide the account balance on the prior December 31 by the IRS distribution period for your age that year. At 73 the factor is 26.5, so a $500,000 balance requires $18,868.
Q: I have several IRAs. Do I take an RMD from each one?
No. You calculate each IRA’s RMD separately but may take the total from any one or more of your IRAs. 403(b) contracts can be combined with each other the same way, but each 401(k) and 457(b) must pay its own RMD.
Q: Can I delay RMDs if I am still working?
For a current employer’s 401(k) or 403(b), generally yes, until April 1 after the year you retire, if the plan allows it and you do not own more than 5 percent of the employer. The exception never applies to IRAs.
Q: Can an RMD be converted to a Roth IRA?
No. An RMD cannot be rolled over or converted. The year’s requirement must be met first, and only amounts above it can be converted, with the converted amount taxed as ordinary income.
Q: Does a qualified charitable distribution count toward my RMD?
Yes. A QCD made by December 31 from an IRA counts toward that year’s RMD, up to $111,000 per person in 2026, and is excluded from taxable income. It must go directly from the custodian to the charity.
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The views and opinions expressed here are those of The Financial Sciences Company as of the publish date and are provided for informational and educational purposes only. They are not personalized investment, tax, or legal advice. The Financial Sciences Company, LLC is a registered investment adviser. Registration does not imply a certain level of skill or training. Additional information is available in our Form ADV at adviserinfo.sec.gov.
General educational information, current as of 2026. Figures and rules change. For guidance specific to your situation, speak with a qualified professional.