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Quick Answer
The RMD rules 2026 require most traditional IRA and 401(k) holders to begin withdrawals by age 73, with Roth 401(k) accounts now exempt from lifetime RMDs under SECURE 2.0. New IRS life expectancy tables and updated penalty rules — reduced from 50% to 25% — change the math for millions of retirees this year.
The RMD rules 2026 reflect the most significant overhaul to required minimum distribution requirements in decades, driven primarily by the SECURE 2.0 Act signed into law in December 2022. According to IRS guidance on required minimum distributions, account holders must now contend with a new starting age, revised life expectancy tables, and a drastically reduced penalty for missed withdrawals.
If you hold a traditional IRA, SEP IRA, SIMPLE IRA, or employer-sponsored plan like a 401(k) or 403(b), these changes affect when you withdraw, how much you withdraw, and what happens if you miss a deadline.
Key Takeaways
- The RMD starting age is now 73 for most account holders, rising to 75 in 2033 for those born after 1959, per SECURE 2.0 Act of 2022.
- Roth 401(k) accounts are exempt from lifetime RMDs beginning in 2024, a rule that continues under the 2026 framework, per IRS RMD guidance.
- A 73-year-old with a $500,000 IRA balance must withdraw roughly $18,868 in 2026, calculated using the IRS Uniform Lifetime Table factor of 26.5, per IRS Publication 590-B.
- Missing an RMD triggers a 25% excise tax on the shortfall, reduced to 10% if corrected within two years, per SECURE 2.0.
- Most non-spouse beneficiaries must fully empty inherited IRAs within 10 years of the original owner’s death, with annual RMDs required during that period if the owner had already begun distributions, per IRS final regulations published July 2024.
- A Qualified Charitable Distribution of up to $105,000 per year satisfies RMD requirements while excluding the amount from taxable income, per IRS guidance on charitable deductions.
What Age Do RMDs Start Under the 2026 Rules?
Under the RMD rules 2026, the required beginning date for most retirement account holders is age 73. This replaces the previous age-72 threshold that was in effect before SECURE 2.0.
The law also includes a future escalation: for individuals born in 1960 or later, the RMD starting age will increase to 75 beginning in 2033. This phased approach gives younger savers more time for tax-deferred growth before mandatory withdrawals kick in.
Your required beginning date (RBD) is April 1 of the year following the year you turn 73. Taking your first distribution in that April means you will also owe a second RMD by December 31 of the same year, creating a potential double-distribution tax hit. Most financial planners recommend taking the first RMD in the year you actually turn 73 to avoid this compression.
What About Roth Accounts?
Roth IRAs have never been subject to lifetime RMDs for original owners. Under SECURE 2.0, this exemption now extends to Roth 401(k) accounts as well. Prior to 2024, Roth 401(k) holders were still required to take RMDs during their lifetime. That rule has been eliminated, which makes Roth 401(k)s a more powerful long-term holding vehicle. For a deeper look at how Roth accounts compare overall, see our guide on Roth IRA vs. Traditional IRA in 2026.
Still Working Past 73? The Still-Working Exception
Employees who remain actively employed past age 73 may be able to defer RMDs from their current employer’s 401(k) plan. The exception applies only to the current employer’s plan and only if the employee is not a 5% or greater owner of the company. IRAs and accounts from prior employers are not covered by this exception and still require distributions on the normal schedule.
This rule is genuinely useful for people who work part-time or consult into their mid-70s. It does not eliminate the RMD obligation; it simply defers it until the employee separates from service.
Key Takeaway: The RMD starting age is now 73 under the current rules, rising to 75 in 2033 for those born after 1959. Per IRS RMD guidance, Roth 401(k) accounts are now also exempt from lifetime distributions — a major planning shift.
How Is Your RMD Amount Calculated in 2026?
Your RMD is calculated by dividing your account balance as of December 31 of the prior year by a life expectancy factor drawn from the IRS Uniform Lifetime Table. The IRS updated these tables in 2022, reflecting longer average lifespans, which effectively reduced annual RMD amounts for most account holders.
For example, a 73-year-old with a traditional IRA balance of $500,000 on December 31, 2025 would divide that amount by a life expectancy factor of 26.5 (per the current Uniform Lifetime Table), resulting in a required withdrawal of approximately $18,868 for 2026.
Which IRS Table Applies to You?
Most account holders use the Uniform Lifetime Table. Account holders whose sole beneficiary is a spouse more than 10 years younger may use the Joint Life and Last Survivor Table, which yields a smaller divisor and thus a lower required withdrawal. The IRS Publication 590-B contains all three applicable tables and worked calculation examples.
Each account is calculated separately, but IRA holders can aggregate their distributions and take the total from any one or combination of their IRAs. This flexibility does not apply across different account types. You cannot satisfy a 401(k) RMD with an IRA distribution.
| Age | IRS Uniform Lifetime Factor | RMD on $500,000 Balance |
|---|---|---|
| 73 | 26.5 | $18,868 |
| 75 | 24.6 | $20,325 |
| 80 | 20.2 | $24,752 |
| 85 | 16.0 | $31,250 |
| 90 | 12.2 | $40,984 |
Why the Divisor Matters More Over Time
The table above illustrates something retirees often underestimate: the required withdrawal percentage increases meaningfully with age. At 73, the RMD represents about 3.8% of a $500,000 balance. By 85, that same balance would generate a required withdrawal of $31,250, roughly 6.25%. By 90, the figure climbs to nearly 8.2%.
This acceleration matters for tax planning. Larger distributions push income higher each year, which can affect Medicare premium calculations (through Income-Related Monthly Adjustment Amounts, or IRMAA), Social Security taxability thresholds, and eligibility for certain deductions. Retirees who delay Roth conversions too long can find themselves locked into an unavoidable upward spiral of taxable income.
The practical implication: front-loading Roth conversions in the years between retirement and age 73 — when income may be temporarily lower — can reduce long-term RMD exposure more than most people realize.
Key Takeaway: RMDs are calculated using IRS life expectancy tables updated in 2022. A 73-year-old with a $500,000 balance must withdraw roughly $18,868 in 2026, and the divisor shrinks each year, increasing the required percentage. See full tables in IRS Publication 590-B.
What Is the Penalty for Missing an RMD in 2026?
Missing an RMD in 2026 triggers a penalty of 25% of the shortfall amount, reduced from the prior rate of 50% under SECURE 2.0. If you correct the missed RMD within a two-year correction window, the penalty drops further to 10%.
This is a meaningful change. Under the old rules, missing a $20,000 RMD cost $10,000 in penalties. Under the new structure, the same miss costs $5,000, or just $2,000 if self-corrected promptly. The SECURE 2.0 Act of 2022 (H.R. 2954) formalized these penalty reductions alongside dozens of other retirement account changes.
The reduction in the RMD excise tax from 50% to 25%, combined with the self-correction window that brings it down to 10%, gives retirees who make honest mistakes a real path to fixing them without catastrophic tax consequences. This assessment is consistent with IRS guidance on corrective distributions and the penalty waiver process outlined in IRS Publication 590-B.
To request a penalty waiver, account holders must file IRS Form 5329 and attach a letter of explanation. The IRS has historically been willing to waive penalties for first-time, good-faith errors, but this forgiveness is discretionary and not guaranteed.
How to Self-Correct a Missed RMD
If you realize you missed or underfunded an RMD, the correction process is straightforward. Take the missed distribution as soon as possible. Then file Form 5329 with your tax return for the year the RMD was missed, attaching a brief written explanation. The IRS generally responds well to proactive corrections with clear documentation.
The two-year correction window is measured from the date the RMD should have been taken. Acting quickly both minimizes the penalty and strengthens the case for a good-faith waiver if you choose to request one.
Key Takeaway: The RMD penalty under the 2026 rules is 25% of the missed amount, reduced to 10% if corrected within two years. Per SECURE 2.0, this marks a dramatic improvement over the prior 50% excise tax that penalized honest mistakes severely.
How Do the RMD Rules 2026 Affect Inherited Retirement Accounts?
Inherited IRA rules remain among the most complex and frequently misunderstood areas of retirement tax law. Under the 10-Year Rule established by the original SECURE Act, most non-spouse beneficiaries who inherited an IRA after December 31, 2019 must fully withdraw the account within 10 years of the original owner’s death.
Critically, the IRS clarified in 2024 that if the original owner had already begun taking RMDs before death, inherited account beneficiaries must take annual RMDs during those 10 years, not just empty the account by year 10. This clarification, detailed in IRS final regulations published in July 2024, ended years of ambiguity and affects planning strategies for millions of heirs.
Eligible Designated Beneficiaries
Certain beneficiaries — called Eligible Designated Beneficiaries (EDBs) — are exempt from the 10-Year Rule. EDBs include surviving spouses, minor children (until they reach majority), disabled or chronically ill individuals, and beneficiaries no more than 10 years younger than the deceased. These individuals may stretch distributions over their own life expectancy. Understanding how an inherited IRA interacts with your overall IRA strategy is covered in our comparison of IRA contribution limits for 2026.
What Happened to Beneficiaries Who Skipped Annual RMDs in 2021 Through 2023?
After SECURE Act passed, many beneficiaries — and their advisors — interpreted the 10-Year Rule as requiring only that the account be emptied by year 10, with no annual distribution requirement in between. The IRS’s July 2024 final regulations confirmed that interpretation was wrong for accounts where the original owner had already begun RMDs.
The IRS provided transitional relief covering missed annual distributions in 2021, 2022, and 2023. That relief has now expired. Beneficiaries in this situation who have not been taking annual withdrawals should consult a tax professional promptly, as the 2024 and 2025 distribution requirements are fully in effect and cannot be waived retroactively under the transitional relief provisions.
Spouse Beneficiaries: A Special Case
Surviving spouses have more flexibility than any other beneficiary class. A surviving spouse may roll the inherited IRA into their own IRA and treat it as their own account, effectively resetting the RMD clock to their own age. Alternatively, they may remain a beneficiary of the inherited account and use the more favorable Joint Life tables. The right choice depends on the surviving spouse’s age relative to the deceased owner and their income needs in the near term.
Key Takeaway: Under the 10-Year Rule, most non-spouse beneficiaries must empty inherited IRAs within 10 years, and per IRS final 2024 regulations, annual RMDs are required during that period if the original owner had already begun distributions. Eligible Designated Beneficiaries remain exempt.
What Strategies Reduce Your RMD Tax Burden in 2026?
Several IRS-approved strategies can legally reduce the amount of taxable income generated by required minimum distributions. The most widely used include Qualified Charitable Distributions (QCDs), Roth conversions, and strategic account drawdown sequencing.
A QCD allows individuals aged 70½ or older to donate up to $105,000 per year (2024 limit, indexed for inflation) directly from an IRA to a qualified charity. The distribution counts toward the RMD but is excluded from taxable income, which is a significant advantage over taking the RMD and then donating the after-tax proceeds. According to IRS guidance on charitable deductions, QCDs are one of the few mechanisms that simultaneously satisfy RMD requirements and reduce adjusted gross income.
Roth conversions before age 73 can reduce future RMD amounts by shifting assets from pre-tax traditional accounts to tax-free Roth accounts. This approach requires paying income tax on the converted amount now in exchange for lower mandatory withdrawals, and potentially lower Medicare premiums, later. If you are also maximizing employer plans, our breakdown of 401(k) contribution limits for 2026 provides useful context for balancing contributions with future RMD exposure.
Account Drawdown Sequencing: Which Accounts to Tap First
The order in which you draw down different account types has real tax consequences over a long retirement. The conventional wisdom of spending taxable accounts first, then tax-deferred, then Roth last is reasonable as a starting point — but it is not universally optimal.
For retirees facing large pre-tax balances, drawing down traditional IRA funds in the years between retirement and age 73 can reduce the size of future RMDs. This is particularly effective in years when earned income has dropped and the retiree is in a lower marginal tax bracket. Done methodically, this strategy can reduce both RMD amounts and the Medicare IRMAA surcharges that kick in at higher income levels.
The tradeoff is straightforward: pay some tax now, at a controlled rate, to avoid higher taxes later when RMDs become mandatory and potentially larger. Letting a traditional IRA compound untouched until age 73 maximizes tax-deferred growth, but it also maximizes the eventual RMD burden.
QCDs as an RMD Offset: How the Numbers Work
Consider a retiree at age 75 with a $600,000 traditional IRA balance, facing a 2026 RMD of approximately $24,390 (using a factor of 24.6). If that retiree donates $24,390 directly to a qualified charity via a QCD, the entire RMD obligation is satisfied with zero dollars added to taxable income.
By contrast, taking the RMD as a normal distribution and then donating the same amount only reduces taxable income if the retiree itemizes deductions, and even then, charitable deduction limitations may apply. The QCD route is cleaner, simpler, and more tax-efficient for charitably inclined retirees. The one constraint worth noting: QCDs must go directly from the IRA custodian to the charity. Distributions paid to the account holder first do not qualify.
Key Takeaway: A Qualified Charitable Distribution of up to $105,000 per year satisfies RMD requirements while excluding the amount from taxable income. Per IRS guidance, this remains one of the most tax-efficient tools available to retirees subject to RMD rules 2026.
How RMDs Interact With Medicare and Social Security
Required minimum distributions are ordinary income for federal tax purposes. That fact carries consequences beyond the income tax bill itself.
Social Security benefits become partially taxable once combined income (adjusted gross income plus nontaxable interest plus half of Social Security benefits) exceeds $25,000 for single filers or $32,000 for married filers. A large RMD can push retirees over these thresholds, causing up to 85% of Social Security benefits to become taxable. This is one of the most common and underappreciated ways that mandatory withdrawals erode retirement income.
Medicare IRMAA surcharges add another layer of complexity. For 2024, the income thresholds for IRMAA kick in at $103,000 for single filers and $206,000 for married filers. Retirees who cross those lines face higher Part B and Part D premiums, sometimes substantially so. Because IRMAA is based on income from two years prior, a large RMD in 2026 could affect Medicare premiums in 2028. Planning for this lag matters.
Strategies to reduce IRMAA exposure include smoothing income across years through partial Roth conversions, timing QCDs to offset RMD income, and coordinating the sale of appreciated assets in years when RMDs are smaller. None of these are simple, but the savings can be significant for retirees with substantial pre-tax balances.
Common RMD Mistakes That Cost Retirees Money
Even financially attentive retirees make RMD errors. The most costly tend to fall into a handful of recurring patterns.
The most common mistake is missing the first-year deadline entirely. Because the required beginning date for a first RMD is April 1 of the year after turning 73, some retirees assume they have until April of the following calendar year to take what is technically their first distribution. They are not wrong about the deadline, but many fail to account for the second RMD due that same December, creating a larger-than-expected tax bill.
A second frequent error is calculating the RMD based on the wrong year-end balance. The calculation always uses December 31 of the prior year, not the current year’s balance. Using an outdated or incorrect figure results in either an underpayment (triggering a penalty) or an overpayment (a recoverable but unnecessary tax hit).
Third, IRA holders sometimes try to satisfy a 401(k) RMD with an IRA distribution. The aggregation rules do not permit this. Each account type must satisfy its own RMD independently. Crossing those wires does not reduce the penalty for the missed 401(k) RMD.
Finally, inherited IRA beneficiaries who inherited after December 31, 2019 and assumed no annual distributions were required during the 10-year window should reassess immediately. As confirmed by the July 2024 IRS final regulations, annual RMDs are required if the original owner had begun distributions. The transitional relief for 2021 through 2023 is gone.
Frequently Asked Questions
What are the RMD rules for 2026 if I just turned 73?
If you turn 73 in 2026, your first RMD is technically due by April 1, 2027, but taking it before December 31, 2026 avoids a double distribution in 2027. Your withdrawal amount is calculated by dividing your December 31, 2025 account balance by the IRS Uniform Lifetime Table factor for age 73, which is 26.5.
Do Roth IRAs have RMDs in 2026?
No. Roth IRAs are not subject to required minimum distributions during the original owner’s lifetime. Roth 401(k) accounts are also now exempt from lifetime RMDs under SECURE 2.0, a rule that took effect in 2024 and continues under the RMD rules 2026.
What happens if I miss my 2026 RMD deadline?
Missing your RMD triggers a 25% excise tax on the amount not withdrawn. If you correct the shortfall within two years, the penalty drops to 10%. You must file IRS Form 5329 to report the missed distribution and request any applicable penalty waiver.
Does the 10-Year Rule require annual withdrawals from an inherited IRA?
Yes, if the original account owner had already begun taking RMDs before death. The IRS finalized this rule in July 2024, ending years of uncertainty. Beneficiaries who failed to take annual distributions in 2021 through 2023 were given transitional relief, but the requirement is fully in effect for 2025 and 2026.
Can I reduce my RMDs through a Roth conversion in 2026?
Yes. Converting pre-tax IRA funds to a Roth IRA reduces the balance subject to future RMD calculations. You will owe income tax on the converted amount in the year of conversion, so this strategy is most effective in years when your taxable income is relatively low, particularly before RMDs begin pushing you into higher brackets.
Are RMD rules 2026 the same for 401(k) and IRA accounts?
The same starting age (73) and life expectancy tables apply to both traditional IRAs and 401(k)s. Key differences exist, though: 401(k) RMDs cannot be aggregated across accounts the way IRA RMDs can, and employees who are still working may delay 401(k) RMDs past age 73 if their plan allows and they are not a 5% or greater owner of the company.
