# 401(k) Minimum Required Withdrawal **URL:** \ **Category:** Factual Questions\ **Created:** [June 26, 2016, 8:40pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442 "2016-06-26T20:40:42Z")\ **Posts on this page:** 8\ **Page:** 1
**Author:** ![Ignatz](https://avatars.discourse-cdn.com/v4/letter/i/3be4f8/32.png) [@Ignatz](https://boards.straightdope.com/u/Ignatz)\ **Post date:** [June 26, 2016, 8:40pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/1 "2016-06-26T20:40:42Z")
How do 401(k) managers calculate the Minimum Required Withdrawal when that occurs? ---
**Author:** ![Alley\_Dweller](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/alley_dweller/32/430_2.png) [@Alley\_Dweller](https://boards.straightdope.com/u/Alley_Dweller)\ **Post date:** [June 26, 2016, 8:57pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/2 "2016-06-26T20:57:07Z")
Use the worksheet in [Publication 590-B](https://www.irs.gov/pub/irs-pdf/p590b.pdf) Appendix A and the life expectancy tables in Appendix B. Even though those tables are for IRAs, the calculation is the same for 401(k) plans. The only difference is that if you have multiple IRAs, you do not have to take a distribution from each account, you can spread the required distributions over your accounts as you please as long as the total is the same. If you have multiple 401(k) accounts, you must take a distribution from each account. [Or just use this calculator.](http://apps.finra.org/Calcs/1/RMD) Remember that there is no required distribution from Roth 401(k) or Roth IRA accounts (except certain inherited accounts). ---
**Author:** ![Pai325](https://avatars.discourse-cdn.com/v4/letter/p/c68b51/32.png) [@Pai325](https://boards.straightdope.com/u/Pai325)\ **Post date:** [June 26, 2016, 9:18pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/3 "2016-06-26T21:18:29Z")
Also remember that if your spouse is ten or more years younger than you, you use a different calculation than the usual one. ---
**Author:** ![Ignatz](https://avatars.discourse-cdn.com/v4/letter/i/3be4f8/32.png) [@Ignatz](https://boards.straightdope.com/u/Ignatz)\ **Post date:** [June 26, 2016, 10:00pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/4 "2016-06-26T22:00:09Z")
Thanks very much. So is the result of the calculator a monthly or an annual w/d minimum? ---
**Author:** ![Bill\_Door](https://avatars.discourse-cdn.com/v4/letter/b/50afbb/32.png) [@Bill\_Door](https://boards.straightdope.com/u/Bill_Door)\ **Post date:** [June 26, 2016, 10:07pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/5 "2016-06-26T22:07:35Z")
It’s an annual minimum based on the account balance on December 31st of the previous calendar year. 2016 RMD is based on the account balance on December 31st, 2015. You can wait until the last day of 2016 to withdraw it. ---
**Author:** ![Ignatz](https://avatars.discourse-cdn.com/v4/letter/i/3be4f8/32.png) [@Ignatz](https://boards.straightdope.com/u/Ignatz)\ **Post date:** [June 26, 2016, 10:39pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/6 "2016-06-26T22:39:45Z")
No IRAs, no spouse more than 10 yrs younger, still working & contributing to the (k), not to be an “early” w/d. W/D on 12/31/16 would be taxable for 2016, not 2017, right? Tks, all, again. ---
**Author:** ![Alley\_Dweller](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/alley_dweller/32/430_2.png) [@Alley\_Dweller](https://boards.straightdope.com/u/Alley_Dweller)\ **Post date:** [June 26, 2016, 10:42pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/7 "2016-06-26T22:42:25Z")
> [@Ignatz](#): > > No IRAs, no spouse more than 10 yrs younger, still working & contributing to the (k), not to be an “early” w/d. W/D on 12/31/16 would be taxable for 2016, not 2017, right? Tks, all, again. If you are still working for the same employer that sponsors your 401(k), then you are not required to take an RMD, regardless of age. Yes, a distribution on 12/31/16 would be taxable in 2016. ---
**Author:** ![ethelbert](https://avatars.discourse-cdn.com/v4/letter/e/958977/32.png) [@ethelbert](https://boards.straightdope.com/u/ethelbert)\ **Post date:** [June 29, 2016, 3:05pm UTC](https://boards.straightdope.com/t/401-k-minimum-required-withdrawal/758442/8 "2016-06-29T15:05:08Z")
Keep in mind that your 401(k) is not obligated to automatically make such a distribution. It might do so if you requested it, but you would need to specify which funds you wanted the money to come from. Your best bet is to calculate the amount and set a reminder on your calendar to make a withdrawal. Don’t wait until the last minute. If you fail to take the money out by the end of the year, you will pay a penalty to the IRS.