403b withdrawal for housing allowance
When a Pastor who is over 73 and taking RMD’s from their 403b:
- does the withdrawal amount for housing allowance count towards their RMD even though it is not taxable?
- Since it is not taxable, do they still have to withdrawal the RMD amount over and above the non-taxable housing allowance?
Thank you.
Douglas
Permalink Submitted by Alan - IRA critic on Tue, 2025-09-16 16:56
The housing allowance is applied to the RMD even though it is not taxable. The RMD is not a separate amount. For example, if the RMD is 30k and the housing allowance is 20k, 30k must be withdrawn but only 10k will be taxable.