Required Minimum Distributions (RMDs) Explained

Required minimum distributions are the IRS's way of eventually collecting tax on money you deferred in a 401(k) or traditional IRA. In this episode, Ryan explains why the government built this rule, when it kicks in (currently age 72 or 73 depending on your birth year), and how the annual withdrawal amount is calculated based on your account balance and life expectancy.He also covers the inherited IRA 10-year rule, which can catch heirs off guard if they are in their peak earning years when they inherit the account. If you have been building tax-deferred savings for decades, this episode helps you understand what the IRS will eventually require and why planning ahead matters. This episode covers general tax concepts; please consult your CPA or tax advisor for guidance specific to your situation.Find "Your Fiscal Physical" the book on AmazonIf you have suggestions or feedback, please email us at: [email protected], as always, Stay the Course!