This calculator estimates your Required Minimum Distributions (or RMDs). Your RMDs are the minimum amounts you must withdraw from your IRA or retirement plan account annually, starting in the year you reach age 73 from 2023 and 75 from 2033. There are penalties if you do not withdraw your RMDs.

The calculator is for illustrative purposes only. Your actual investment returns and future account balances may be higher or lower.

The calculator should be used in conjunction with appropriate education, guidance, and advice, and not as the sole source of information when making decisions about your personal finances.

The calculations are based on the data you input and on current U.S. tax rules, which could change in the future. The current IRS distribution factors are based on your age and, if appropriate, the age of your beneficiary, on your birth dates in the calculation year.

The calculator works for people who are age 60 or older. Your spouse can be younger or older than you.

It is assumed that your RMDs are withdrawn at the end of each year.

If you are currently younger than 73, the calculator assumes that you withdraw your first RMD in the year you turn 73 from 2023 and 75 from 2033, although the first payment can be delayed until April 1 of the year following. For all subsequent years, including the year in which you take the first RMD by April 1, you must withdraw the RMD by December 31 of the year. Your account balance at the previous December 31, which you enter on the "About you" screen, will be projected to grow by the default future investment return of 4 percent until the December 31 of the year before you turn age 73 from 2023 and 75 from 2033.

If you are currently 73 or older, the calculator will show your RMD for the current year initially. You can then choose to model your RMDs for future years.

If you do not withdraw your RMD or do not withdraw the full RMD, the amount not withdrawn is subject to a 25 percent penalty tax.

The future years’ RMD screen illustrates your account balance in the left "fish tank" and the sum of all your RMDs withdrawn to date; your "Cumulative RMDs" is shown in the right "fish tank."

The calculator assumes that no additional contributions are made and only the RMD amounts are withdrawn. You can withdraw more than the RMD amount in any year.

The default future investment return is 4 percent a year. Investment returns are assumed to be consistent for the duration of the period.