The IRS requires that you take your RMD by December 31 each year (or by April 1 of the following year for your very first RMD). Within that window, you have flexibility in how you time your withdrawal.
Here are some general considerations about timing:
Taking Your RMD Early in the Year (January – Spring)
Things to know:
- Provides peace of mind by getting it done early.
- Eliminates the risk of forgetting later in the year.
- May help with steady cash flow if you use RMDs for expenses.
- However, the funds are withdrawn earlier and stop benefiting from tax-deferred growth.
Taking Your RMD Mid-Year (Summer – Early Fall)
Things to know:
- Creates a balance between account growth and avoiding the holiday rush.
- Can make it easier to coordinate with mid-year tax planning.
- Keeps you safely away from the year-end bottleneck.
Taking Your RMD Late in the Year (November – December)
Things to know:
- Keeps the money invested for as long as possible during the year.
- Gives you a clearer picture of your total annual income before withdrawing.
- Comes with risks: custodian processing cutoffs, holiday delays, and the possibility of missing the IRS deadline if left too late.
Processing Considerations at MidAtlantic IRA
To help ensure timely processing, MidAtlantic IRA encourages clients to complete RMD requests by November 15 each year. This internal cutoff reduces the risk of delays and ensures requests are handled before year-end workloads and holiday closures.
Work With Your Advisors
The timing of your RMD can affect your overall financial picture, including taxes, income planning, and investments. For this reason, it’s important to talk with your tax or financial advisor to determine what approach makes the most sense for your individual situation.
Additional Resources
- IRS: Required Minimum Distributions (RMDs)
- MidAtlantic IRA: What Is a Required Minimum Distribution
- MidAtlantic IRA: How to Calculate Your RMD
- MidAtlantic IRA: Common Misconceptions About RMDs
Bottom line: While the IRS gives you until December 31 to take your RMD, different timing approaches have different implications. MidAtlantic IRA’s internal November 15 cutoff ensures your request is processed smoothly, but your tax or financial advisor can help you decide what timing works best for your overall plan.