Required Minimum Distributions: Less Worry, More Wisdom

Navigating Required Minimum Distributions (RMDs) can feel overwhelming, but smart planning can help you keep more of your retirement savings where it belongs—in your hands. Required Minimum Distributions: Less Worry, More Wisdom unpacks the essentials of how RMDs work and strategies for managing their impact on your tax bill, so you can focus on enjoying life in retirement.

In this eBook, you’ll learn:

• What RMDs are and how they work.
• How to calculate your RMDs.
• How RMDs can affect your tax bracket in retirement.

Meet Josephine and Harold

Josephine and Harold are both 62 years old. They retired with a pension (Josephine), two Social Security benefits, and $1,000,000 in combined tax-deferred retirement accounts. The only non-IRA money they have is $20,000 in a savings account.

Harold’s interests include Silver Sneakers Parkour and rock tumbling, and Josephine keeps busy with birding and foraging for mushrooms. With their high monthly income and inexpensive hobbies, they do not need to tap into IRA savings for living expenses.

Growing at 6% average annual return (estimate, not a guarantee!), the tax-deferred accounts could expand to $1,800,000 by their RMD age. That could mean a required withdrawal of over $65,000/year from tax-deferred accounts.

There is only $20,000 between their current taxable income and the top of their tax bracket. Josephine and Harold are concerned that if they don’t plan, their future RMDs might push them into a higher tax bracket.

What are their options? How can they take the stress out of RMDs? Download our eBook to find out!