Annuity RMD

Forum|Forum|9 months ago
September 26, 2025
1 reply
14 views

My retirement pension was recently converted to an annualized annuity. How do I determine what the RMD is for this annuity? Is it just the total of payments I receive during the year? I understand that under changes made in the SECURE 2.0 act, that if the payments exceed the RMD amount due, I can use the excess to offset the RMD due from my other retirements accounts.

fanfare

Level 15

"the payments exceed the RMD amount due, "

can't happen with an annuity, so no help there.

@jrb98391

jrb98391Author

Level 2

My info was based on this reply I received from Google:

Under the SECURE 2.0 Act, if your annuity payments exceed your RMD for that contract, the excess can be applied toward RMDs for other accounts, such as an IRA.

jrb98391Author

Level 2

And this from Fidelity:

Key takeaways

A little-known SECURE 2.0 Act rule lets "excess income" from qualified annuities satisfy RMDs for other accounts.
Previously, excess income, or the amount of annual income minus the RMD on the annuity, could not be used to offset the RMD for other accounts.
That means more money could potentially stay invested in your retirement portfolio longer, giving your money the potential to continue growing tax-deferred.