RMD basics

A simple introduction to required minimum distributions and why they matter.

Required minimum distributions matter because they can reshape retirement taxes whether you need the cash or not.

Use this guide to understand the tradeoffs quickly, then open one of the related models below if you want to turn the idea into a planning scenario.

What RMDs are

RMDs are mandatory withdrawals from certain tax-deferred retirement accounts once you reach the applicable age.

They are designed to force deferred savings back into taxable income over time.

Large RMDs can push up taxable income later in retirement even if you do not need to spend the money.

That is one reason some households model Roth conversions before RMDs begin.

RMD planning is ultimately tax planning. Even a simple estimate can help you spot whether future withdrawals may become larger than expected.

Withdrawals1 min

Estimate your RMD based on age, balance, and the Uniform Lifetime Table divisor.

Estimated RMD

$33,962

Tax Strategy3 min

Estimate the long-term tradeoff of paying tax now for future tax-free withdrawals.

Roth future value

$137,952

6 min

Learn when Roth conversions may make sense and what tradeoffs to model.

7 min

Think beyond one portfolio number and map how spending may be covered year by year.