Plan for required minimum distributions: test your skills
Most pre-tax retirement accounts require withdrawals to start at 73 — rising to 75 for people who turn 74 after 2032. Answer each question to see the explanation; your score appears at the end.
This test checks that you can
- Know the current RMD ages
- Identify which accounts have RMDs
- Calculate an RMD from a balance and factor
- Practice
1. Current RMD age for most people turning 73 before 2033?
- Practice
2. Do Roth IRAs require withdrawals in the owner’s lifetime?
- Practice
3. An RMD is generally calculated as…
- Key idea
4. Which statement best explains "Tax deferral has an end date"?
- Key idea
5. Which statement best explains "Roth IRAs are different"?
- Key idea
6. Which statement best explains "Delaying the first can double up"?
- Action plan
7. In the action plan, which step comes first?
- Mistake to avoid
8. Which of these is a mistake this lesson warns against?
- Mistake to avoid
9. Which of these is a mistake this lesson warns against?
Prior year-end balance $250,000, factor 25.0. What is the RMD?
Show the answer
$10,000
$250,000 ÷ 25 = $10,000.
Using your birth year, write down your RMD age.
More tests in this bootcamp
- Understand your 401(k) and employer match
- Open the idea of an IRA: account first, investments inside
- Compare Roth and Traditional IRAs through the tax timing
- Understand the backdoor Roth IRA and its tax pitfalls
- Understand an HSA’s tax benefits and receipt records
- Explore how claiming age changes Social Security benefits
- Use the 4% rule as a starting point, with its limits
- Plan for required minimum distributions
- Check the costs and commitments of early retirement withdrawals
- Final exam: Retirement accounts