Federal Benefits Service

December 31st Deadline for Required Minimum Distributions (RMDs)

The Internal Revenue Service has reminded retirees that they usually must take distributions from their individual retirement arrangements (IRAs) and workplace retirement plans by December 31st. This is the last day, and is your final reminder to do so! 

Required minimum distributions (RMDs) are typically the minimum amounts that retirement plan account owners have to withdraw annually beginning when they reach age 72 or the year they retire. 

This will apply to those who reached 70 ½ in 2019, (70th birthday was June 30th, 2019 or earlier) as they did not have an RMD due for 2020, but are required to take one by December 31st, 2021. 

Individuals who reach 72 in 2021 (and their 70th birthday was July 1st, 2019 or later) have their first RMD due by April 1st, 2022. 

Typically, the required distribution rules apply to: 

  • Owners of traditional Individual Retirement Arrangements (IRAs) 
  • Owners of traditional Simplified Employee Pension (SEP) IRAs 
  • Owners of Savings Incentive Match Plans for Employees (SIMPLE) IRAs 
  • Participants in various workplace retirement plans, including 401(k), Roth 401(k), 403(b) and 457(b) plans 

The original owners of Roth IRAs do not require distributions while they are alive. 

The RMD is determined by calculating the taxpayer’s life expectancy and their account balance. This means that for the majority of taxpayers, life expectancy used to calculate the RMD is based on Uniform Lifetime Table III in Publication 590-B, Distributions from IRAs.  These online worksheets from the IRS are helpful for individuals trying to better understand RMDs. 

Here are a number of additional resources in order to learn more about the rules for RMDs: 

Please contact us at Federal Benefits Service to learn more about your federal retirement. 




Security Code:
security code
Please enter the security code:


Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top