Attention, Seniors: Here's One Mistake You Can't Afford to Make in 2017
Like it or not, there are ample opportunities to derail your finances in retirement. You could, for example, neglect to create a budget, get penalized for enrolling late in Medicare, or take on costly credit card debt at a time when you'll most likely struggle to pay it off. But if there's one mistake you really don't want to make this year, it's neglecting your required minimum distribution. And unfortunately, nearly 50% of seniors are at risk of doing just that.
If you're new to the world of required minimum distributions, or RMDs, here's a quick rundown. Any time you have money in a traditional IRA or 401(k), you're required to withdraw a certain amount on a yearly basis once you turn 70 1/2. The actual amount of your RMD will depend on your account balance coupled with your life expectancy.
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Source: Fool.com
