RMD Calculator

Your RMD is calculated by dividing your retirement account balance as of December 31 of the prior year by the IRS life expectancy factor for your age from the Uniform Lifetime Table. For example, a 75-year-old with a $500,000 IRA balance divides $500,000 by 24.6 to get an RMD of $20,325. A 80-year-old with the same balance divides by 20.2 to get $19,802. The divisor decreases each year as you age, causing your RMD percentage to increase over time even if your balance stays flat.

RMDs apply to Traditional IRAs, SEP IRAs, SIMPLE IRAs, 401(k) plans, 403(b) plans, 457(b) governmental plans, and profit-sharing plans. Roth IRAs are completely exempt from RMDs during the owner's lifetime — one of the most significant tax advantages of Roth accounts. Roth 401(k)s are also exempt from RMDs as of 2024 under SECURE 2.0 (previously they required RMDs). If you have multiple Traditional IRAs, you must calculate each separately but can withdraw the total from one or multiple IRA accounts of the same type.

Missing or underpaying an RMD triggers a 25% excise tax on the shortfall under SECURE 2.0 (reduced from the previous 50% penalty). If you miss a $10,000 RMD, you owe a $2,500 IRS penalty on top of the regular income tax due on the distribution. If you correct the error within a two-year window, the penalty is further reduced to 10%. To avoid penalties, take your full RMD by December 31 each year. Your first RMD has a special deadline — April 1 of the year after you turn 73 — but delaying the first RMD means you take two in the same calendar year.

Yes. The RMD is a minimum, not a maximum. You can withdraw any amount above your RMD from your retirement account at any time — the excess withdrawal is simply taxed as ordinary income. However, taking more than your RMD does not reduce future years' RMD requirements, which are recalculated each year based on the new December 31 balance. Strategic Roth conversions can reduce future RMDs by shifting assets from Traditional IRA accounts — subject to RMDs — to Roth IRA accounts — which are not.

The IRS gives first-time RMD recipients a one-time grace period: your very first RMD can be delayed until April 1 of the year after you turn 73. However, if you take advantage of this delay, you must take two RMDs in that calendar year — one by April 1 (for the prior year) and one by December 31 (for the current year). Taking two distributions in one year could push you into a higher income tax bracket. For most retirees, taking the first RMD before December 31 of the year they turn 73 is simpler and avoids the double-distribution tax issue.

Every dollar converted from a Traditional IRA to a Roth IRA permanently removes it from future RMD calculations. If you convert $100,000 from a Traditional IRA to a Roth IRA before age 73, you pay income tax on the $100,000 in the conversion year, but that $100,000 and all its future growth are never subject to RMDs. For retirees with large Traditional IRA balances, Roth conversions in the years between retirement and age 73 — when income may be lower — can significantly reduce lifetime RMD obligations and the associated income tax burden.