Is Taking Your Required Minimum Distribution (RMD) in March a Good Idea?
Your retirement savings belong to you, but as long as you keep them in a tax-advantaged retirement account, the Internal Revenue Service (IRS) still gets some say in what you do with them.The IRS can require you to withdraw money from your savings each year or face steep tax penalties. These mandatory annual withdrawals are known as required minimum distributions (RMDs) and typically begin in the year you turn 73.You technically have all year to take your RMD -- and you have until April 1 of the following year to make your first one. But some people like to take theirs early in the year so they can get it out of the way. Here are some factors to consider when deciding the right strategy for you.Continue reading
Your retirement savings belong to you, but as long as you keep them in a tax-advantaged retirement account, the Internal Revenue Service (IRS) still gets some say in what you do with them.
The IRS can require you to withdraw money from your savings each year or face steep tax penalties. These mandatory annual withdrawals are known as required minimum distributions (RMDs) and typically begin in the year you turn 73.
You technically have all year to take your RMD -- and you have until April 1 of the following year to make your first one. But some people like to take theirs early in the year so they can get it out of the way. Here are some factors to consider when deciding the right strategy for you.
