Required Minimum Distributions: Starting Ages and Calculation

Find the applicable starting-age cohort

The table concerns original owners of traditional accounts, not inherited accounts. The cohort provisions are in IRS T.D. 10001, section 1.401(a)(9)-2(b)(2). The same bulletin’s separate proposed rule addresses the 1959 statutory ambiguity; that row is labeled accordingly instead of presenting a proposal as a final regulation.

Choose the right table before dividing

IRS RMD FAQs, questions 4 and 5 distinguish table selection and aggregation. Most owners use Uniform Lifetime Table III. A spouse more than ten years younger who is the sole beneficiary generally means Joint and Last Survivor Table II. Inherited accounts involve separate beneficiary rules; do not reuse this owner worksheet.

Synthetic example: a 73-year-old owner subject to Table III has a $530,000 balance on December 31, 2025. The age-73 divisor is 26.5 in Publication 590-B, Appendix B. The 2026 amount is $530,000 ÷ 26.5 = $20,000. This is a distribution requirement, not a tax bill.

Mark the two deadlines and account boundaries

For someone turning 73 in 2026, the first RMD can generally be delayed until April 1, 2027, but the 2027 RMD is still due December 31, 2027. Two distributions may then enter the same tax year. IRS FAQs 3–5 explain the deadlines and account rules.

Use the projection as an estimate

The planner estimates birth cohort from entered age and uses the Uniform Lifetime Table. It does not determine exact birthday treatment, use every spouse/beneficiary table, or provide inherited-account compliance calculations. Verify those details with the custodian. Compare conversion windows before the requirement starts and annual decisions when it does.

What an RMD does

Tax-deferred retirement accounts were designed to postpone income tax, not avoid it forever. RMD rules generally require distributions from traditional IRAs and many workplace plans after the owner reaches the applicable age. The distribution is generally included in taxable income, subject to account basis and other rules.

RMD starting ages have changed over time, so birth year matters. Workplace-plan rules can differ when a participant is still employed, and inherited accounts follow separate requirements. Use current IRS guidance rather than a chart saved years ago.

Planning takeaway

The first planning task is to identify which accounts are subject to which rule.

How the amount is generally calculated

For many owners, the annual amount is based on the account balance at the end of the prior year divided by a life-expectancy factor from the applicable IRS table. Different tables or rules may apply in certain spouse and beneficiary situations.

The custodian may calculate an amount, but the owner remains responsible for taking the correct total. Traditional IRA RMDs may have aggregation rules that differ from workplace plans. Do not assume one distribution from any account satisfies every account's requirement.

Why RMDs matter before they begin

A large tax-deferred balance can create taxable distributions later, even if the household does not need the cash for spending. That income may interact with Social Security taxation, Medicare income-related charges, capital gains, and state taxes. It can also change which account funds a one-time goal.

The years after retirement but before RMDs begin may offer planning flexibility because earned income has stopped while required income has not started. Whether to take additional distributions or consider Roth conversions is a tax-specific decision. Modeling can identify the years worth discussing with a tax professional.

• TimelineMark the applicable starting year for each owner and account.
• ProjectionEstimate future balances and distributions under more than one return path.
• CoordinationPlace RMDs beside Social Security, pensions, gains, deductions, and Medicare considerations.

Avoid common RMD planning mistakes

Do not wait until December to confirm the requirement, assume the age is the same for everyone, or overlook an old workplace account. Keep beneficiary designations and account records current. If the first distribution can be delayed into the following year under current rules, recognize that taking two taxable distributions in one calendar year may affect the tax result.

Penalties and correction procedures can change, and special situations are common. Verify the current requirement with the custodian and a qualified tax professional. The educational plan should flag the year and estimated cash flow, not present itself as a compliance calculator.