Start IRA RMD

7 replies
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Hi,

I will be turning 72 in July. When must I start my IRA RMD? Can I wait until 2024? If I do will I need to take two distributions in 2024?

Not A Product Question

dmertzAnswer

Level 15

Everyone who has posted so far appears to have missed the fact that SECURE 2.0 changed the tax code such that for individuals reaching age 72 after December 31, 2022 the age for beginning RMDs is 73, not 72. Because you will reach age 72 after 2022 and will reach age 73 in 2024, 2024 is your first RMD year. You have until April 1, 2025 to satisfy your 2024 RMD. If you wait until 2025 to take your 2024 RMD, you will have to take both your 2024 and 2025 RMDs in 2025.

rjs

Level 15

CORRECTION: See post by dmertz below.

Since you will turn 72 in 2023 you must take an RMD for 2023. You can take it up until April 1, 2024 (not April 15). But if you wait until 2024 to take your 2023 RMD you will have two distributions in 2024 because you must also take an RMD for 2024. The option to wait until April 1 of the following year applies only to your first RMD.

camiski2Author

Level 2

Googled RMD: The SECURE 2.0 Act of 2022 was signed into law in late December and changes the Required Minimum Distribution (RMD) age to 73 for individuals who turn 72 on or after January 1, 2023.

I am a bit confused. TurboTax said I must take RMD in 2023. I turn 72 after January 1, 2023. So who is correct. All the notices I see I will start my RMD in 2024 when I turn 73.

DoninGA

Level 15

@camiski2

Go to this IRS website - https://www.irs.gov/retirement-plans/retirement-plan-and-ira-required-minimum-distributions-faqs

Beginning in 2023, the SECURE 2.0 Act raised the age that you must begin taking RMDs to age 73. If you reach age 72 in 2023, the required beginning date for your first RMD is April 1, 2025, for 2024. Notice 2023-23PDF permits financial institutions to notify IRA owners no later than April 28, 2023, that no RMD is required for 2023.

Also see the post from @dmertz below on this thread.