The SECURE 2.0 Act raised the RMD starting age to 73 for a specific group of retirees. Here is who qualifies and what deadlines you must hit.
Who has to start RMDs at 73?
If you were born between 1951 and 1959, your RMD starting age is 73 under the SECURE 2.0 Act. You must begin taking required minimum distributions from traditional IRAs and most employer retirement plans in the year you turn 73. If you were born in 1960 or later, your starting age is 75 instead. This staggered schedule replaced the old age-72 rule and reflects Congress's move to let savings grow longer. Roth IRAs remain exempt from lifetime RMDs regardless of your age.
Your first RMD deadline and the April 1 trap
Your very first RMD has a special deadline: you can delay it until April 1 of the year after you turn 73. Every RMD after that is due by December 31. Delaying the first one sounds appealing, but it forces you to take two RMDs in the same calendar year, which can spike your taxable income and raise your Medicare premiums through IRMAA. Many retirees take the first RMD on time, in the year they turn 73, to avoid bunching two distributions together.
Plan your first distribution wisely
Because your first RMD can affect your tax bracket and Medicare costs, timing matters. Call 1-800-MEDIGAP (dial 1-800-633-4427) to speak with a licensed agent about how starting RMDs at 73 may change your Medicare premiums, and whether taking the first distribution on time makes sense for you.