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Level 1
posted Oct 22, 2025 12:46:00 PM

RMD

I have 2 separate 401K accounts being managed by 2 different companies.  Would it be an advantage to combine the 2 accounts into one?  Will it help when it's time to take the RMD?

 

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1 Replies
Employee Tax Expert
Oct 22, 2025 12:57:51 PM

The decision to maintain separate 401(k) accounts or combine them is a personal one. Key factors to consider include the expense ratios, plan fees, and investment options available in each plan. While most brokers can provide Required Minimum Distribution (RMD) amounts, it's important to note that RMDs must be withdrawn separately from each 401(k) plan, unlike IRAs where the total RMD can be taken from a single account.

 

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