- Locate your age on the IRS Uniform Lifetime Table.
- Find the “life expectancy factor” that corresponds to your age.
- Divide your retirement account balance as of December 31 of the previous year by your current life expectancy factor.
How to calculate RMD for 2022?
To calculate your RMD, look up the distribution period for age 74, which is 25.5. Divide $500,000 by 25.5 to get your 2022 RMD of $19,608. That's the RMD amount that you will need to take out of your IRA before 12/31/2022 using the new 2022 tables.18 Jan 2022
Locate your age on the IRS Uniform Lifetime Table. Find the “life expectancy factor” that corresponds to your age. Divide your retirement account balance as of December 31 of the previous year by your current life expectancy factor.7 Jan 2022
Is there a new RMD table for 2021?
Under the new uniform life table, for example, a 75-year-old would use 24.6 as their factor. That is, your 2021 RMD would be based on the old life expectancy tables and the account's balance on . Your 2022 RMD would be based on the new tables and the balance at the end of 2021.19 Jan 2022
What is the new life expectancy table for 2022?
He used the pre-2022 Single Life Expectancy Table for a 30-year-old, which as shown in the pre-2022 Single Life Expectancy Table above is 53.3 years. He divided 53.3 into the inherited traditional IRA balance as of Dec.12 Jan 2022
How is RMD calculated each year?
Generally, a RMD is calculated for each account by dividing the prior December 31 balance of that IRA or retirement plan account by a life expectancy factor that IRS publishes in Tables in Publication 590-B, Distributions from Individual Retirement Arrangements (IRAs).26 Jun 2021
How do I calculate my required minimum distribution?
To calculate your required minimum distribution, simply divide the year-end value of your IRA or retirement account by the distribution period value that matches your age on Dec. 31st each year. Every age beginning at 72 has a corresponding distribution period, so you must calculate your RMD every year.18 Jan 2022