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RMD required
Traditional IRA
A Traditional IRA (Individual Retirement Arrangement) is a personal retirement account where contributions may be tax-deductible and investments grow tax-deferred until withdrawal.
Who might have one?
- Workers without a company retirement plan, or who want to save beyond their 401(k)
- Self-employed individuals and freelancers
- People rolling over old 401(k) balances from previous jobs
- Retirees consolidating multiple retirement accounts
Why would you have one?
- Reduce taxable income in years you contribute (if eligible)
- Grow investments without paying annual taxes on gains
- Build retirement savings outside an employer plan
- Convert or roll over old employer plans into one account you control
How RMDs work for this account
You must take RMDs from each Traditional IRA once you reach your required beginning date (age 73 or 75 under SECURE 2.0). Calculate the RMD separately for each IRA, but you may withdraw the total from one or more IRAs combined.
Common mistakes
- Forgetting that each Traditional IRA needs its own calculation
- Assuming you can skip RMDs if you are still working (the still-working exception applies to 401(k)s, not IRAs you own)
- Missing the first-year deadline (April 1 vs. December 31 decision)
Frequently asked questions
- Do Traditional IRAs require RMDs?
- Yes. Original owners must begin required minimum distributions by their required beginning date — age 73 or 75 depending on birth year.
- Can I combine RMDs from multiple Traditional IRAs?
- You calculate RMDs separately for each IRA, but you may take the combined total from any one or more of your Traditional IRAs.
Related account types
Need help with your RMD?
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