What Is a Required Minimum Distribution (RMD)?
A required minimum distribution is the amount the IRS requires you to withdraw each year from most retirement accounts once you reach a certain age. When RMDs start, how they're calculated, and which accounts are exempt.
In one sentence
Required minimum distribution (RMD). The smallest amount you must withdraw each year from most retirement accounts once you reach a certain age.
How it works
Most retirement accounts can't grow untaxed forever. Required minimum distributions apply to traditional IRAs, SEP and SIMPLE IRAs, and workplace plan accounts, and they start at age 73.1 Each account's RMD is its balance on the previous December 31, divided by a life expectancy factor from IRS tables.1
| Balance on last December 31 | $500,000 |
|---|---|
| Life expectancy factor | 25.0 |
| Required withdrawal this year | $500,000 ÷ 25.0 = $20,000 |
The factor shrinks each year, so the required share of the account rises with age. Withdrawals from traditional accounts are taxed as income.
Timing and exceptions
- The first RMD is for the year you reach the starting age, but it can be delayed until April 1 of the next year. Later RMDs are due by December 31 each year, so delaying the first one means taking two in the same year.1
- Roth IRAs and Roth accounts in 401(k) and 403(b) plans have no required minimum distributions while the owner is alive.1
Learn it properly
- Early Withdrawals and Required Minimum DistributionsPart 6: Strategy, Behavior, Accounts, and Taxes
Notes and sources
- Internal Revenue Service. Retirement plan and IRA required minimum distributions FAQs. Checked 2026-10-06. Back to text