Besides the infamous April 15th tax return deadline looming this year, there is also the infamous April 1st date.
Why is this date also infamous?
It is the “Required Beginning Date” (RBD) for Required Minimum Distribution (RMD) withdrawals from traditional IRAs following the year the IRA owner turns 70 ½. This is only the beginning. Every year thereafter, withdrawals must be taken. The result is more taxable income and income taxes. Ouch! With more and more boomers turning 70, this date will live on in infamy until the IRS changes the rules.