Your RMD amount is calculated by dividing your tax-deferred retirement account balance as of December 31 of last year by your life expectancy factor. Your life expectancy factor is taken from the IRS Uniform Lifetime Table.
Source: Internal Revenue Service, Publication 590-B, Table III, Uniform Lifetime.
* Adjust if you have assets that were in the process of being recharacterized, transferred or rolled over on December 31.
** The Uniform Lifetime Table can be used by all IRA owners, unless their sole beneficiary for the entire year is their spouse whose more than 10 years younger. In that case, the regular Joint Life Expectancy Table is used, which could reduce the RMD even further.
Note: If you are taking RMDs from an inherited IRA, the formula, example, and table above are not applicable. Inherited IRA accounts are required to use the Single Life Table.
Tamalpais does not provide legal or tax advice, and the information provided is general in nature and should not be considered legal or tax advice. Consult an attorney, tax professional, or other advisor regarding your specific legal or tax situation.
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