RMD Rules for 2026: What Every Retiree Needs to Know

What Are RMDs and Why Do They Matter in 2026?

If you have a traditional 401(k), IRA, SEP-IRA, or similar tax-deferred retirement account, the IRS requires you to start withdrawing a minimum amount each year once you reach a certain age. These withdrawals are called Required Minimum Distributions (RMDs), and failing to take them — or taking less than required — triggers a significant tax penalty.

The rules governing RMDs have changed substantially in recent years. The original SECURE Act of 2019 raised the starting age from 70½ to 72. Then, in December 2022, Congress passed SECURE Act 2.0 (the Securing a Strong Retirement Act), which extended the age further and adjusted several other important provisions.



This guide explains the current RMD rules in plain language — including who must take RMDs, when they start, how to calculate them, what happens if you miss one, and a powerful tax strategy called a Qualified Charitable Distribution (QCD) that can help you satisfy your RMD without paying income tax on it.

RMD Age Rules in 2026: What SECURE Act 2.0 Changed

The RMD starting age has moved three times in recent years:

In plain terms: if you were born between 1951 and 1959, your RMDs start at age 73. If you were born in 1960 or later, your RMDs will not begin until age 75, starting in 2033.



Important first-year grace period: You must generally take your first RMD by December 31 of the year you turn 73. However, for your very first RMD only, the IRS allows a one-time delay — you may take it as late as April 1 of the following year. Be aware: if you use this extension, you will be required to take two RMDs in the same calendar year (one for each year), which could push you into a higher tax bracket.

How to Calculate Your RMD

Your RMD is not a fixed dollar amount — it changes each year based on your account balance and your age. The formula is straightforward:

RMD = Account Balance (as of December 31 of the prior year) ÷ Life Expectancy Factor



The life expectancy factor comes from the IRS Uniform Lifetime Table, which was updated in 2022 and provides slightly lower RMD amounts than the previous table. Here are some common examples:

If you have multiple retirement accounts (e.g., two traditional IRAs and a 401(k)), each account is calculated separately. For IRAs, you may aggregate the total and take the full RMD from one or more IRA accounts. 401(k) RMDs must generally be taken from each 401(k) separately.



Example: John turns 74 in 2026. His traditional IRA was worth $420,000 on December 31, 2025. The life expectancy factor at 74 is 25.5. His 2026 RMD is $420,000 ÷ 25.5 = $16,471. John must withdraw at least this amount from his IRA by December 31, 2026.

Penalties for Missing an RMD

Before SECURE Act 2.0, missing an RMD — or withdrawing less than the required amount — triggered a steep 50% excise tax on the shortfall. SECURE Act 2.0 reduced this substantially:

• 25% excise tax on the missed RMD amount (effective 2023 — reduced from 50%)
• 10% excise tax if the RMD error is corrected within the IRS correction window and the proper procedures are followed

You can request a waiver from the IRS if the RMD error was a reasonable mistake and you took corrective steps, though the IRS retains discretion over whether to grant the waiver. The lower penalty rate makes it easier to correct honest mistakes while still motivating compliance.



Reminder: RMDs from inherited/beneficiary IRAs have their own rules and deadlines. See the section on surviving spouses and beneficiaries below.

QCD Strategy: Satisfy Your RMD Without Paying Income Tax

One of the most powerful — and underused — strategies for retirees taking RMDs is the Qualified Charitable Distribution (QCD), also known as a charitable IRA rollover. A QCD allows eligible IRA owners to donate money directly from their IRA to a qualified charity — and have that amount count toward their RMD for the year, without the distribution being included in their taxable income.

Key QCD rules for 2026:

• Who qualifies: IRA owners and beneficiaries aged 70½ or older (note: you do not need to have started RMDs yet — the QCD age threshold of 70½ is lower than the RMD starting age of 73).
• Annual limit: $111,000 per person per year (indexed for inflation). Married couples filing jointly can each make a QCD up to $111,000, for a combined total of up to $222,000.
• What counts: The QCD amount counts toward your RMD for the year. If your RMD is $18,000 and you donate $10,000 via QCD, you only need to withdraw an additional $8,000 as a taxable distribution.
• Tax benefit: The donated amount is excluded from your adjusted gross income (AGI) entirely — unlike a regular charitable deduction, which requires you to itemize. Reducing AGI can also help you avoid triggering higher Medicare IRMAA surcharges or making more of your Social Security income taxable.
• Eligible accounts: Traditional IRAs and inherited IRAs. QCDs cannot be made from 401(k)s, 403(b)s, or SEP/SIMPLE IRAs while you are still contributing.
• Eligible charities: The donation must go directly from the IRA custodian to a 501(c)(3) qualified charity. Donor-advised funds, private foundations, and supporting organizations do not qualify.

Example: Mary, age 76, has a traditional IRA RMD of $22,000 for 2026. She instructs her IRA custodian to send $22,000 directly to her church. The entire $22,000 QCD satisfies her RMD — and none of it appears as income on her tax return. Had she taken the distribution normally and then donated it, she would have owed income tax on the $22,000.

A QCD is especially effective if you:

• Take the standard deduction and cannot benefit from itemizing charitable gifts
• Want to reduce your AGI to lower Medicare IRMAA premiums
• Are charitably inclined and do not need the full RMD for living expenses
• Want to reduce the size of your IRA to minimize future RMDs for heirs

Surviving Spouse RMD Rules Under SECURE Act 2.0

SECURE Act 2.0 made an important change to how surviving spouses handle RMDs from an inherited retirement account.

Under the old rules, if your spouse passed away before starting RMDs, you would automatically become the “participant” in the RMD calculation — allowing you to delay distributions until you reached RMD age. Under SECURE Act 2.0, effective January 1, 2024, a surviving spouse must actively elect to be treated as the participant — it is no longer automatic.

If the surviving spouse elects participant status, they can delay RMDs until they themselves reach RMD age (73 or 75, depending on birth year). This is especially beneficial for a surviving spouse who is significantly younger than the deceased spouse.



Additionally, SECURE Act 2.0 changed which IRS table is used to calculate a surviving spouse's RMDs. The Uniform Lifetime Table — which factors in a younger spouse's life expectancy — now applies, resulting in lower RMD amounts over a longer distribution period compared to the Single Lifetime Table used previously.

SECURE Act 2.0 and Annuities in Retirement Accounts

SECURE Act 2.0 also addressed a long-standing concern about incorporating annuities — particularly those with period-certain guarantees and guaranteed annual increases — into qualified retirement plans like 401(k)s and IRAs.

Previously, the RMD rules made it technically difficult to hold certain types of annuity contracts inside a qualified account. The new rules provide clearer guidance that makes it easier for retirement plans to offer guaranteed lifetime income options, including annuities with increasing income streams.

For retirees concerned about outliving their savings, this change is meaningful: it supports the creation of a predictable, guaranteed income stream inside a qualified plan — while still satisfying RMD requirements. Fixed Index Annuities (FIAs), in particular, can offer growth linked to a market index without downside risk, and many include an optional income rider that provides guaranteed lifetime income.

Special Needs Trusts and RMD Distribution Periods

SECURE Act 2.0 also modified the RMD rules for certain special needs trusts — allowing distributions to be spread over the lifetime of a disabled or chronically ill beneficiary, rather than being compressed into the 10-year window that now applies to most non-spouse beneficiaries.

This change can be especially beneficial for families planning to leave a portion of their qualified retirement account to a disabled loved one. By stretching distributions over the beneficiary's lifetime, the trust can provide ongoing financial support without forcing large, taxable payouts in a short period.

Note: A special needs trust must be properly structured and drafted by a qualified attorney who specializes in this area. It is important to have the trust established and reviewed well before it is needed.

2026 RMD Key Takeaways

• RMD age is 73 in 2026 (for those born 1951–1959); rises to 75 in 2033 for those born 1960 or later.
• First RMD grace period: You may delay your very first RMD to April 1 of the following year — but this means two RMDs in one year.
• Penalty for missing: 25% excise tax on the shortfall; reduced to 10% if corrected promptly.
• QCD limit: $111,000 per person per year directly from an IRA to a qualified charity — counts toward your RMD and is excluded from taxable income.
• Surviving spouses: Must now actively elect to be treated as the participant to delay RMDs. Uniform Lifetime Table now applies for lower annual distributions.
•  Annuities in plans: SECURE Act 2.0 makes it easier to hold certain annuities in qualified plans, supporting guaranteed lifetime income options.

RMD rules are layered and can interact with other aspects of your retirement income plan — including Social Security, Medicare premiums, and estate planning. At Summerlin Benefits Consulting, we specialize in helping retirees navigate retirement income protection, understand their options, and develop a strategy that keeps more of their money in their hands. Contact us today for a no-obligation review.

Note: This content is for informational purposes only and does not constitute tax or legal advice. Summerlin Benefits Consulting does not provide social security, specific advice related to taxes, or legal advice. Consult a tax/legal professional for guidance with your individual situation.

Frequently Asked Questions

Q: What are the RMD rules in 2026?

A: In 2026, RMDs must begin at age 73 for anyone born between 1951 and 1959. The RMD age rises to 75 starting in 2033 for those born in 1960 or later. You must withdraw the IRS-calculated minimum from your traditional 401(k) or IRA by December 31 each year — or face a 25% excise tax on the missed amount, reduced from 50% by SECURE Act 2.0.

Q: How do I calculate my RMD?

A: Divide your retirement account's December 31 prior-year balance by your IRS life expectancy factor from the Uniform Lifetime Table. At age 73, the factor is 26.5 — so a $500,000 balance produces an RMD of ~$18,868. IRA RMDs can be combined and taken from any IRA; 401(k) RMDs must be taken from each account separately.

Q: What is a QCD and how does it reduce RMD taxes?

A: A Qualified Charitable Distribution (QCD) lets IRA owners age 70½ and older donate up to $111,000 directly from their IRA to a qualified charity. The donated amount satisfies your RMD for the year but is excluded from taxable income entirely — reducing your AGI, potentially lowering Medicare IRMAA surcharges, and cutting your tax bill without requiring you to itemize deductions.



Q: What is the penalty for missing an RMD?

A: Missing an RMD triggers a 25% excise tax on the shortfall — reduced from 50% by SECURE Act 2.0. If you catch and correct the mistake promptly following IRS guidelines, the penalty drops further to 10%. Your first RMD has a one-time grace period: you can delay it until April 1 of the year after you turn 73, though this creates two taxable RMDs in one calendar year.