IRA/401K/403b – Required Minimum Distribution Rules

When must RMD’s begin?

  • Born after June 30, 1949, you can delay required minimum distribution until the year you reach age 72. (You can postpone your first RMD until April 1st of the year thereafter, however you’ll need to take 2 RMD’s that year.
  • Born prior to June 30, 1949 you are required to take your RMD’s yearly.

How to calculate? 

  • For a 2021 RMD, use your 12/31/2020 account values.
  • Find your “factor” which can be found on our Key Financial Data, under “Uniform Life Table” which is on page 2. Click here for the Key Data. Your factor is the age you will be on 12/31/2021.
  • Divide each prior year-end account value by your factor, to determine the amounts needed to withdraw per account.


What if you have several accounts? (Aggregation Rules)

  • If you have 3 IRA’s, you must calculate the RMD for each separate IRA, however you can take the total for all out of any one or combination of IRA’s as long as you meet the total
  • If you have 2 401K’s, you must calculate the RMD for each separately and take each separately.
  • If you have 2 403b’s, you must calculate RMD separately, however you can take the sum total out of either one.
  • If you have an IRA, a 401K and a 403b, you must calculate each separately and take each RMD separately.


Possible Exception!

  • If you are working and have a 401K with THAT employer you may be able to delay until the year you retire. Most plans allow this exception; however, you should check with your plan administrator.


Tax Strategies to Consider:

  • Qualified Charitable Distributions
  • Filling Up the Tax Bracket Bucket
  • Roth Conversions


Have Questions?  Send them to






Broker Check Logo