3 New Required Minimum Distribution (RMD) Rules Everyone Needs to Know About in 2024
Retirement accounts like a 401(k) and IRA come with a lot of advantages. Incentives like matching contributions, tax deductions and credits, and tax-free growth can help supercharge your retirement savings.
You can't avoid taxes on your retirement savings indefinitely, though. Eventually, the government will want you to start withdrawing money from those accounts, which may come with a hefty tax bill. That's why it imposes required minimum distributions, or RMDs for short.
While RMDs are typically a concern for retirees, it's important for everyone to know the rules. It never hurts to plan ahead, and if you inherit a retirement account, you may be subject to RMDs well before reaching retirement.
Source Fool.com
