RMDs in 2026: Required Minimum Distribution Rules, Table & Penalties
📑 In this guide
Required Minimum Distributions are the IRS’s way of saying: you deferred taxes for decades, now the tax bill starts. Under SECURE 2.0, the trigger age is 73 — and the penalty for missing a distribution is steep. Here is everything you need to know for 2026.
The age-73 rule (SECURE 2.0)
The SECURE 2.0 Act raised the RMD age from 72 to 73 for people who turn 73 in 2023 or later, and it will rise again to 75 for those born in 1960 or later. For most retirees in 2026, the operative age is 73.
Timing subtlety: your first RMD is due by April 1 of the year after you turn 73. Delay it and you’ll take two distributions that year (one for the prior year, one for the current year) — often pushing income into a higher bracket. Most retirees take the first RMD in the year they turn 73 to avoid this.
The IRS Uniform Lifetime Table (sample factors)
Your RMD = balance on December 31 of the prior year ÷ factor for your age.
| Age | Factor | RMD as % of balance |
|---|---|---|
| 73 | 26.5 | 3.77% |
| 75 | 24.6 | 4.07% |
| 80 | 20.2 | 4.95% |
| 85 | 16.0 | 6.25% |
| 90 | 12.2 | 8.20% |
| 95 | 8.9 | 11.24% |
The factor falls every year, so the required withdrawal percentage climbs — a deliberate design that ensures the account is drained over your remaining life expectancy.
Example: $500,000 at age 73 → $500,000 ÷ 26.5 = $18,868 required for the year.
The 25% penalty (reduced to 10%)
Miss an RMD and the IRS assesses an excise tax of 25% of the shortfall — 50% for RMDs from inherited IRAs. You can reduce it to 10% (20% for inherited) by withdrawing the missed amount promptly and filing Form 5329 with a reasonable-cause explanation. Given that an RMD is often $20,000+, even 10% is $2,000+ — a costly oversight.
Strategies to lower RMDs
- Roth conversions in low-income years before age 73 shrink the traditional balance that generates RMDs (tax-free Roth withdrawals have no RMDs).
- Qualified Charitable Distributions (QCDs): up to $111,000 in 2026 can be donated directly from your IRA to charity, counting toward your RMD and excluded from taxable income — the most tax-efficient giving strategy for retirees.
- Withdraw more than the minimum in low-income years to reduce future RMDs and tax growth.
Estimate your own RMD
Use the free RMD estimator above — enter your prior-year-end balance and age, and it looks up your Table III factor, computes the required amount, and shows the percentage it represents. Then see how your overall retirement picture fits together with the retirement savings projector.
Educational reference. Retrieved Aug 11, 2026. Factors from IRS Pub. 590-B Table III; QCD limit $111,000 for 2026. Confirm your situation with a tax professional.