Seniors and our elderly loved ones need to consider their IRA Min Distribution, effective in 2023.

The Internal Revenue Service (IRS) lets you put money into a traditional IRA and defer taxes on your contribution and any investment gains all through your career. But this situation doesn’t last forever. Eventually, you have to take out minimum amounts annually, known as required minimum distributions, or RMDs, from your account once you reach age 72 or 73. RMDs also apply to employer-sponsored retirement accounts such as 401(k) and 403(b) plans.

Technically, that means the RMD must start being withdrawn no later than April 1 following the year you reach that age.

In late 2022, Congress passed legislation that raised the age you have to start taking RMDs from 72 to 73 years old starting in 2023. This means that if you turned 72 in 2022, you’ll need to take your first RMD by April 1, 2023 and will need to make another one by the end of 2023. If you turn 72 in 2023, you won’t have to take an RMD until 2024 (when you turn 73), which will be due by April 1, 2025.