Ask the Expert: What are the rules for taking IRA RMDs?
I'll be 72 this August. When must I start taking required minimum distributions from my IRAs? I'm confused. I'll be 73 in 2024, and I understand that 73 is now the start age.
You’re right that the age at which people must begin taking annual RMDs from their retirement accounts has been raised from 72 to 73. This applies for everyone born after Dec. 31, 1950, and before Jan. 1, 1960.
Other readers, take note: The change doesn’t apply to people who are already taking RMDs. They must continue taking the distributions on their existing schedule.
Since you were born in August 1951, your required starting age is 73.
The deadline for taking a first RMD is always April 1 of the year after you reach RMD age. The deadline for all subsequent RMDS is Dec. 31. Your deadline for taking your first RMD is therefore April 1, 2025 — the year after you turn 73.
But to avoid taking (and paying taxes on) your first and second RMD in the same calendar year, you should take the first RMD by Dec. 31, 2024.
I have a New York City 457 deferred compensation plan and a traditional IRA. I'd like to take my total RMD for both plans only from my 457 for the next five years, without touching the money in my IRA. Can I do this?
No. You must take RMDs separately from the 457 and the IRA.
RMDs can’t be aggregated between different types of retirement plans, or even between several 457 plans. If you had two 457 plans, for example, you’d have to take separate RMDs from each.
The bottom line
Retirement account RMD rules are complex, and subject to change. It’s smart to double check them before taking distributions.
