# What are the RMD percentages by age?

## What are the RMD percentages by age?

RMD – Required Minimum IRA Distribution

Required Minimum IRA Distribution (RMD) | ||
---|---|---|

Current Age | Distribution period (years) | Percent |

70 | 27.4 | 3.65% |

71 | 26.5 | 3.77% |

72 | 25.6 | 3.91% |

**What is the RMD schedule for 2021?**

You must take your first RMD (for 2021) by April 1, 2022, with subsequent RMDs on December 31st annually thereafter.

**What is life expectancy for RMD?**

A 72-year-old IRA owner applying the Uniform Lifetime Table under the former tables would use a life expectancy of 25.6 years to calculate an RMD for calculation years up to 2021. Under the new Uniform Life Table, the IRA owner would use a life expectancy of 27.4 years for RMD calculations starting in 2022.

### At what age does RMD start?

age 72

Your required minimum distribution is the minimum amount you must withdraw from your account each year. You generally have to start taking withdrawals from your IRA, SEP IRA, SIMPLE IRA, or retirement plan account when you reach age 72 (70 ½ if you reach 70 ½ before January 1, 2020).

**Is there a new RMD table for 2020?**

For 2020, RMDs were waived by the CARES Act. For 2021, RMDs will once again be due and will be calculated using the existing life expectancy tables. RMDs for 2021 are calculated as if the 2020 waiver had not occurred. This means that no make-up 2020 RMDs are required for 2021.

**What are the new RMD rules for 2020?**

The Secure Act made major changes to the RMD rules. If you reached the age of 70½ in 2019 the prior rule applies, and you must take your first RMD by April 1, 2020. If you reach age 70 ½ in 2020 or later you must take your first RMD by April 1 of the year after you reach 72.

#### What is the formula for calculating a RMD?

RMD Formula. RMD are calculated by dividing the account’s worth on December 31 of the previous year by the account owner’s life expectancy according to the applicable IRS life expectancy tables.

**How is a RMD calculated?**

RMD are calculated by dividing the account’s worth on December 31 of the previous year by the account owner’s life expectancy according to the applicable IRS life expectancy tables.

**What is the RMD table?**

The RMD table, shown above, lists the minimum required distribution for your age . Required minimum distributions exist to prevent retirees from never taking the money out, thus allowing the funds to pass, un-taxed, as inheritance. A financial advisor can help you take care of your finances when you’re retired.

## How are RMDs calculated?

RMDs, or Required Minimum Distributions, are calculated by dividing your traditional IRA or retirement plan account balance by a life expectancy factor specified in IRS tables.