Correct. The value of the QLAC on December 31 is simply excluded from the December 31 value that is used to calculate RMDs for the following year. If there was no QLAC on December 31, 2020, the entire account value on that date is used to calculate the RMD for 2021. Purchasing a QLAC in 2021 would not affect the 2021 RMD, it would lower the RMDs on the non-QLAC balance for years going forward.
