How do I calculate my Required Minimum Distribution (RMD)?
If you've been taking an RMD for years, your plan administrator has likely already figured this out for you and you can answer yes where it asks if you took a full RMD.
For each retirement account you'll need to first determine if you need to take a RMD, then how much you need to take.
RMD's have several different calculations that can be used to find the amount and can be complicated. We suggest contacting the account plan administrator to be sure you know the correct amount for each one.
Generally speaking, a RMD is calculated for each account by dividing the prior December 31 balance of that IRA or retirement plan account by a life expectancy factor that the IRS publishes in Publication 590b . Choose the life expectancy table to use based on your situation found in Appendix A & B.
You can answer Yes that you took the full amount, even if the full amount was from one or spread across several accounts.
For example:
Account #1 has a RMD of $1,200
Account #2 has a RMD of $2,500
Account #3 has a RMD of $200
Total RMD is $3,900 (1200 + 2500 + 200)
You are able to take $3,900 from Account #3 if you choose, as long as you calculated the RMD individually for each account and took the total RMD out for the year.
For each retirement account you'll need to first determine if you need to take a RMD, then how much you need to take.
RMD's have several different calculations that can be used to find the amount and can be complicated. We suggest contacting the account plan administrator to be sure you know the correct amount for each one.
Generally speaking, a RMD is calculated for each account by dividing the prior December 31 balance of that IRA or retirement plan account by a life expectancy factor that the IRS publishes in Publication 590b . Choose the life expectancy table to use based on your situation found in Appendix A & B.
You can answer Yes that you took the full amount, even if the full amount was from one or spread across several accounts.
For example:
Account #1 has a RMD of $1,200
Account #2 has a RMD of $2,500
Account #3 has a RMD of $200
Total RMD is $3,900 (1200 + 2500 + 200)
You are able to take $3,900 from Account #3 if you choose, as long as you calculated the RMD individually for each account and took the total RMD out for the year.
