A required minimum distribution (RMD) is the minimum amount the IRS requires you to withdraw from certain retirement accounts — including traditional IRAs and 401(k)s — each year beginning at age 73 (as of 2023 law). Roth IRAs are not subject to RMDs during the owner's lifetime. Failing to take your RMD on time can result in a significant tax penalty. RMD planning is an important part of retirement income strategy because the amount you are required to withdraw can affect your tax bracket, Medicare premiums, and Social Security taxation. We help clients plan their distributions to manage these impacts as efficiently as possible.