Understanding Your RMD Options Before Turning 73
This article appears as part of Casey Weade's Weekend Reading for Retirees series. Every Friday, Casey highlights four hand-picked articles on trending retirement topics and delivers them straight to your email inbox. Get on the list here.
Weekend Reading
Turning 73 might feel like just another birthday—until you’re reminded that Uncle Sam is also sending a gift: Required Minimum Distributions (RMDs).
READ THE ARTICLEHere, past podcast guest Steve Parrish outlines the power of proactive RMD planning. Here are key takeaways to keep in mind:
📌 Preplanning Pays Off: Roth conversions and QLACs can reduce or delay future RMD obligations
📌 First-Year Flexibility: You can delay your first RMD until April 1 of the following year, but that could double your taxable income in one year
📌 RMD Aggregation Rules Matter: You may be able to take multiple RMDs from one account, but rules vary depending on account type
📌 Consider QCDs: If you don’t need the money, giving directly to charity from your IRA can satisfy your RMD with tax advantages
Make Note: RMDs don’t have to be a hassle—they can be an opportunity to fine-tune your retirement strategy. With thoughtful planning, you can transform a tax obligation into a purposeful part of your retirement journey.