Among the most complicated and frustrating IRA rules are required minimum distributions (RMDs). RMDs are required on all traditional IRAs in and after the year the owner turns 70 1/2 years old. For inherited IRAs, RMDs are also obligatory starting in the year after the previous owner’s death.

A new RMD value must be calculated every year.

Although many companies will determine traditional IRA RMDs for you, the RMD of inherited IRAs is significantly more complex. The inherited IRA calculation is so onerous that account owners or their advisors must compute it manually.

Although the client is ultimately responsible, we provide assistance in calculating and implementing our client’s RMDs, both traditional and inherited, each year as a part of our service. We also provide the administrative support necessary to oversee the entire distribution process.

How to Calculate Your RMD: a Uniform, Inherited, and Joint Divisor Calculator

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There are different tables and formulas used to calculate your RMD divisor based on your particular circumstances. Here is a calculator for the three most common.

Roth Conversion: Take Your Required Minimum Distribution Out First

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A simple summary of how to meet your Required Minimum Distribution in the same year as you perform a Roth Conversion is the axiom: RMD dollars must come out first.

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