RMDs, or Required Minimum Distributions, are withdrawals that are required by the IRS each year out of your traditional retirement accounts like 401(k)s and IRAs starting at age 72. The money that you have to take out annually by December 31st at midnight is taxed based on your income tax rate for that tax year.
Read this article about RMDs, and call us if you have any questions or don’t understand it:
https://www.cnbc.com/2021/03/01/required-minimum-distributions-on-retirement-plans-are-back.html
We are happy to discuss ideas with you and/or your tax professional. You can reach Benning Financial Services in Bismarck, North Dakota toll-free at (877) 412-9425.
This article is provided for educational purposes only and its content should not be relied upon for tax advice. As always, check with your tax professional or attorney for specific tax advice related to your situation.
