Retirement
Required minimum distribution (RMD): Definition, Formula and Example
An RMD is a minimum amount U.S. tax rules require an owner or beneficiary to distribute from certain retirement accounts when applicable.
Scope: U.S. federal rules checked October 23, 2026. Worked example: distribution year 2026 and the stated IRS owner table.
Other names and related labels: RMD; Required retirement withdrawal.
How it works
For a standard owner calculation, the prior December 31 balance is divided by the applicable IRS distribution period. The table, starting age, deadline and aggregation rules depend on account type, birth cohort and beneficiary circumstances. Owners of Roth IRAs and designated Roth plan accounts generally have no lifetime RMDs under current rules.
Annual owner RMD = prior year-end account balance / applicable distribution period
This is not a formula for all inherited accounts. A sole-beneficiary spouse more than ten years younger can change which owner table applies.
A 2026 owner RMD at age 75
Assume a $246,000 balance on December 31, 2025, and the Uniform Lifetime Table.
- The age-75 distribution period is 24.6 under the table used for this example.
- Annual RMD: $246,000 / 24.6 = $10,000.
The illustrated 2026 RMD is $10,000 before any tax on the distribution.
Owner born in 1951; no more-than-ten-years-younger sole-beneficiary spouse; no inherited-account calculation.
Try these example inputsA tax minimum is not a safe withdrawal recommendation
An RMD does not promise that a portfolio will last or that the money covers spending. Do not substitute a current balance for the required prior year-end balance, or assume one withdrawal satisfies every type of retirement account.
Explore with a calculator
- RMD Calculator
Calculate supported owner RMD cases and review its table and beneficiary limitations.
Sources and checks
- IRS: Retirement Topics — Required Minimum Distributions
- IRS Publication 590-B (2025): Distribution Tables
Definition and example arithmetic checked . Sources explain the concepts; numerical examples use the assumptions stated above.
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