RMD Calculator

RMD Calculator

Account Balance (as of Dec 31 last year) Current Age

Enter details and click Calculate.

 

RMD Calculator

 (Estimate your required annual retirement account withdrawals after age 73) Enter Your Information: Your Current Age: _______ (must be 73+)

 As of December 31 of last year, the balance in your retirement account was $_______. Type of Account: ✅ Traditional IRA

 ✅ 401(k)/403(b)

  IRA inherited (different regulations apply) Spouse’s Age (if joint life expectancy): _______ (optional)

 Calculate:

 From the Uniform Lifetime Table, the IRS Life Expectancy Factor is: 💵 Your Annual RMD: $_______

 How Things Work: The following formula can be used:RMD = Account BalanceIRS Life Expectancy FactorRMD = Account Balance Example: $500,000 balance ÷ 25.6 (age 75 factor) = $19,531/year.

 Key Rules:

 Start age: 73 (for those born 1951–1959) or 75 (born 1960+).

 Deadline: Dec 31 each year (first year can delay until April 1).

 Penalty: 25% of missed RMD (reduced from 50% in 2023).

 Example Calculation:

 Age: 75

 Cash owed: $600,000 IRS Factor: 24.6 (from Uniform Lifetime Table)

 RMD: $600,000 ÷ 24.6 = $24,390/year (~$2,032/month)

 Important Factors: Age: A higher RMD percentage indicates a shorter life expectancy. ✔ Balance: Larger accounts = larger RMDs.

 ✔ Inherited IRAs: Stricter rules (10-year payout for most non-spouse heirs).

 Tips to Manage RMDs:

 To avoid paying taxes, plan ahead and use RMDs (QCDs) for charitable contributions. Tax Strategy: Withhold taxes directly from RMDs to avoid underpayment penalties.

 Reinvest: If you don’t need the cash, reinvest in a taxable account.

 Try It:

 🔹 Age 73: $/year

 🔹 Age 80: $/year

 🔹 Age 90: $_______/year

 (Note: For inherited IRAs or complex cases, consult a tax professional.)