Deferring Your First RMD? 2 Hidden Consequences You May Not Know About.
Think twice before pushing off that withdrawal.
Overview
If you're turning 73 this year, it may be a milestone year in the context of your retirement savings. That's because traditional IRAs and 401(k)s require savers born before 1960 to begin taking required minimum distributions (RMDs) at age 73.
RMD have to be taken by Dec. 31 of every year. But there's an exception for your first RMD. You're allowed to defer that initial distribution to April 1 of the year following your 73rd birthday.
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Originally published at www.fool.com.
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