How to Optimize Your RMDs in Retirement

No matter where you are in your financial journey, many options are available, including eliminating RMDs altogether through Roth conversions.

RMD written on a sticky note on top of paperwork next to two pens.
(Image credit: Getty Images)

Required minimum distributions (RMDs), or the minimum amount you must withdraw from your pre-tax retirement accounts each year, are a key consideration for retirement planning. That said, the rules and ways you can, and should, leverage them have changed.

The old rule was you had to begin RMDs at 70½ years old. The SECURE Act updated the age for RMDs to 72. The SECURE 2.0 Act updated the age to 73. The raise in RMD age lets retirement assets build longer, but there are still many paths you can take with current RMDs and future RMD planning. It all depends on where you are in your financial journey.

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Isaac Morris
Associate Financial Advisor, LPL Financial Advisor, Summit Financial Advisors

Isaac Morris is a registered LPL Financial Advisor with TruStage Wealth Management Solutions. Isaac works at Summit Financial Advisors located at Summit Credit Union where he helps individuals and families pursue their financial goals by providing financial advice based on 10-plus years of experience in the industry. He is deeply committed to his clients’ financial well-being and strives to listen intently to their needs and concerns to provide them with just the right help for their unique circumstance.