Aggregate Sum for RMDs

DickG510 — Mon, 24 Feb 2025 23:17:40 GMT

Turbotax Premium 2024 does not address how to properly apply (the use of RMD aggregate sum in their software) when applying one or more RMDs used to satisfy a total RMD requirement, that involves more than one IRA account.

Example; I have 3 IRAs and want to use the aggregate sum from two of them, ( two distribution 1099-Rs received) in order to satisfy the total RMD amount from 3 IRA accounts.

Turbo tax does not address how to apply these two (1099-R distributions RMDs) in order to satisfy the total RMD requirements of 3 accounts.

The only thing I can do, is split the reported RMD amounts, when asked what was the (RMD due in their software), as long as the total from the two accounts equal the total RMDs required for all 3 accounts.

Turbotax needs to update their software to address (Aggregate Sum) in reporting RMDs from more than one IRA account.

Re: Aggregate Sum for RMDs

MinhT1 — Mon, 24 Feb 2025 23:20:11 GMT

An IRA owner must calculate the RMD separately for each IRA that he or she owns, but can withdraw the total amount from one or more of the IRAs.

If you are sure that you have satisfied all RMD requirements, then in TurboTax, on each form 1099-R for RMD withdrawals, answer that The entire distribution was an RMD then on the following page, to the question What is the RMD for your account? enter the amount of the distribution from that IRA account.

By doing this, you are telling TurboTax that all RMDs are satisfied and TurboTax will not calculate any penalty. The information you entered in TurboTax is to enable TurboTax to calculate any penalty where applicable, and is not reported to the IRS.

Similarly, a 403(b) contract owner must calculate the RMD separately for each 403(b) contract that he or she owns, but can take the total amount from one or more of the 403(b) contracts.

However, RMDs required from other types of retirement plans, such as 401(k) and 457(b) plans have to be taken separately from each of those plan accounts.

Please read this IRS FAQ for more information.

topic Re: Aggregate Sum for RMDs in Retirement tax questions

Aggregate Sum for RMDs

Re: Aggregate Sum for RMDs