Required Minimum Distributions (RMDs): How to Calculate Your 2026 RMD

Your Required Minimum Distribution (RMD) is calculated by dividing your retirement account balance as of December 31 of the prior year by a life-expectancy “distribution period” from the IRS Uniform Lifetime Table. For example, a $500,000 traditional IRA at age 75 uses a divisor of 24.6, producing an RMD of $20,325 — about 4.07% of the balance. The table has been unchanged since 2022, so the same divisors apply whether you’re calculating your 2026 or 2027 RMD. Here’s the full formula, the age rules, what changed for Roth accounts, and how to avoid the steep penalty for missing a withdrawal.

The RMD Formula

RMD = Prior Year-End Account Balance ÷ IRS Distribution Period (based on your age)

The “distribution period” comes from the IRS Uniform Lifetime Table (Publication 590-B, Appendix B, Table III), which assigns a divisor to each age from 72 through 120+. As you get older, the divisor shrinks, so a larger percentage of your balance is required out each year.

Example: A $1,000,000 traditional IRA balance at age 73 (divisor 26.5) produces a 2026 RMD of $37,736. The same $1,000,000 balance at age 75 (divisor 24.6) produces $40,650 — the required percentage climbs every year even if your balance doesn’t grow.

Plug in your own birth year, account balance, and account type into the RMD calculator to get your exact number for 2026 or 2027, including the dollar amount, percentage of balance, and your withdrawal deadline.

What Age Do RMDs Start?

Thanks to the SECURE 2.0 Act, your required starting age depends on your birth year:

Your very first RMD has a special rule: you can delay it until April 1 of the year after you reach your start age, instead of taking it by December 31 of that year. The catch is that your second RMD is still due by December 31 of the same calendar year — so delaying means two taxable distributions land in one tax year, which can push you into a higher bracket. For most people, taking the first RMD in the year you turn your start age, rather than delaying, keeps taxable income more level.

Which Accounts Need an RMD — and Which Don’t

Not every retirement account requires an RMD, and the rules changed recently:

• Traditional IRA, 401(k), 403(b), 457(b), SEP IRA, SIMPLE IRA: all require RMDs once you hit your start age.
• Roth IRA: has never required RMDs for the original account owner — the money can stay invested indefinitely.
• Roth 401(k) and Roth 403(b): as of 2024, these no longer require RMDs during the original owner’s lifetime either, under SECURE 2.0 — a significant change from the old rule that treated workplace Roth accounts differently from Roth IRAs.

If you have a mix of account types, only the traditional (pre-tax) accounts factor into your RMD calculation.

Can You Combine RMDs Across Accounts?

It depends on the account type:

• Multiple IRAs (traditional, SEP, SIMPLE) can be aggregated: calculate each IRA’s RMD separately, then withdraw the total from any single IRA or combination of them.
• 401(k) and 403(b) plans cannot be aggregated with each other or with your IRAs. Each employer plan’s RMD must be calculated and withdrawn from that specific plan — if you have three old 401(k)s, that’s three separate required withdrawals.
• Inherited IRAs are tracked separately from your own IRAs and cannot be combined with them for RMD purposes.

The Penalty for Missing an RMD

The IRS charges an excise tax under IRC §4974 if you don’t take your full RMD by the deadline:

• 25% of the amount you should have withdrawn but didn’t.
• Reduced to 10% if you correct the shortfall within two years.
• You can request a full penalty waiver by filing Form 5329 with a reasonable-cause explanation (common causes: serious illness, bank error, or incorrect advice from a financial institution).

Given how steep the standard penalty is, most advisors recommend setting up an automatic annual withdrawal rather than relying on remembering to do it manually each December.

Qualified Charitable Distributions: An RMD Workaround

If you’re charitably inclined, a Qualified Charitable Distribution (QCD) lets you transfer money directly from your IRA to a qualified charity — up to $111,000 in 2026 — and that amount counts toward satisfying your RMD without being included in your taxable income. This is different from withdrawing the RMD yourself and then donating it, which would still count as taxable income before any charitable deduction. For retirees who don’t need the full RMD for living expenses, a QCD is one of the few ways to reduce the tax impact of a required withdrawal.

The Spousal Exception

If your spouse is your sole primary beneficiary and more than 10 years younger than you, the IRS lets you use the Joint Life and Last Survivor Expectancy Table instead of the Uniform Lifetime Table. Because it accounts for both spouses’ life expectancies, it produces a larger divisor — and therefore a smaller required RMD — than the standard table would. This table depends on both spouses’ exact ages, so check IRS Publication 590-B, Table II, or a tax advisor for your specific figure; the RMD calculator flags when this exception may apply but uses the standard table for its headline number.

Planning Around Your RMD

Once you know your required withdrawal amount, two follow-up questions matter more than the RMD itself:

1. Does this change your tax bracket? An RMD adds to your ordinary taxable income for the year. Run your full income picture, including the RMD, through the tax bracket calculator to see your marginal rate and whether withholding more from the distribution makes sense.
2. Does your overall retirement income still support your spending? If your RMD is larger than what you’d otherwise withdraw, you may end up reinvesting the excess in a taxable account. The retirement income calculator can help you see how a required (rather than elective) withdrawal amount affects how long your overall savings last.

Frequently Asked Questions

Do I have to spend my RMD? No. You must withdraw it from the tax-deferred account, but once it’s out, you can spend it, save it, or reinvest it in a taxable brokerage account — the requirement is about the withdrawal, not how you use the money.

What if I take more than my RMD? That’s allowed — the RMD is a minimum, not a maximum. Withdrawing more simply increases your taxable income for the year beyond the required amount.

Do RMD rules change every year? The divisors in the Uniform Lifetime Table haven’t changed since 2022 and apply the same way in 2026 and 2027. The starting age (73 or 75) is fixed by birth year under SECURE 2.0 and doesn’t shift year to year for a given person.

Does an RMD affect my Medicare premium? It can. Your RMD adds to your Modified Adjusted Gross Income (MAGI), and a higher MAGI can push you into a higher IRMAA bracket, raising your Medicare Part B and Part D premiums two years later. This is worth checking if you’re near a bracket threshold and considering a QCD to offset some of the increase.

Can I take my RMD in installments throughout the year instead of one lump sum? Yes — the IRS only requires that the full amount be withdrawn by the deadline, not that it come out in a single transaction. Many retirees set up monthly or quarterly automatic withdrawals that total their RMD by year-end.

The Bottom Line

Your RMD is simply your prior year-end balance divided by an IRS-assigned divisor based on your age — no guessing required. Use the RMD calculator to get your exact 2026 or 2027 number, then check how it affects your bracket with the tax bracket calculator and how it fits your broader retirement spending plan with the retirement income calculator — well before your December 31 deadline.