What is an RMD (Required Minimum Distribution)? What is an RMD (Required Minimum Distribution)?

What is an RMD (Required Minimum Distribution)?

Contributor Contributor

According to IRS.gov, Required Minimum Distributions (RMDs) generally are minimum amounts that a retirement plan owner must withdraw annually starting with the year that the account holder reaches 72. This applies to Traditional IRAs only as Roth IRAs do not have RMDs. 

RMDs also apply to Inherited (Beneficiary IRAs), but have special distribution rules, which should be discussed with your tax/financial advisor. 

Please keep in mind that iTrustCapital's administrator will notify a client annually that their account has an RMD. However, we will not provide the amount. This information can be obtained by speaking with your tax/financial advisor. Once you know the amount that needs to be withdrawn and you'd like to request a distribution, please submit a form by following this link.