First year RMD
Client’s first year RMD is due 2024 but can be delayed until April 2025. Confirming they can split this first year RMD by taking part of it in 2024 and the rest before April 2025?
Client’s first year RMD is due 2024 but can be delayed until April 2025. Confirming they can split this first year RMD by taking part of it in 2024 and the rest before April 2025?
Permalink Submitted by Alan - IRA critic on Wed, 2024-07-31 15:05
Yes, the 2024 RMD can be deferred entirely or in part to 2025. Sometimes a partial deferral can result in a lower amount of SS income being included in taxable income for the 2 years than if there were no deferral or a total deferral. These calculations are typically done very late in the first RMD year to optimize taxes over the two years.