Withdrawals Affect 401(k) Balances

This is a news story, published by Yahoo Finance, that relates primarily to SmartAsset news.

personal finance & financial education news

For more personal finance & financial education news, you can click here:

more personal finance & financial education news

Yahoo Finance news

For more news from Yahoo Finance, you can click here:

more news from Yahoo Finance

About the Otherweb

Otherweb, Inc is a public benefit corporation, dedicated to improving the quality of news people consume. We are non-partisan, junk-free, and ad-free. We use artificial intelligence (AI) to remove junk from your news feed, and allow you to select the best business news, entertainment news, world news, and much more. If you like personal finance & financial education news, you might also like this article about

best retirement income strategy

. We are dedicated to bringing you the highest-quality news, junk-free and ad-free, about your favorite topics. Please come every day to read the latest Additional RMD Strategies news, RMD strategy news, personal finance & financial education news, and other high-quality news about any topic that interests you. We are working hard to create the best news aggregator on the web, and to put you in control of your news feed - whether you choose to read the latest news through our website, our news app, or our daily newsletter - all free!

retirement savings account

SmartAsset

•

Business

Business & Economics

Do Early Withdrawals From a 401(k) Count Toward My RMDs Before Age 73?

Summary

Nutrition label

78% Informative

Required Minimum Distributions (RMDs) require mandatory retirement withdrawals starting at age 73 .

Withdrawals are usually taxed as normal income no matter when they are taken, so it may make sense to take them now if you think you'll be in a higher tax bracket after retirement.

Other ways to reduce, delay or avoid taking RMDs could also help.

SmartAsset AMP helps advisors connect with leads and offers marketing automation solutions.

Estimate your tax bill or refund from your next return using SmartAsset 's Federal Income Tax Calculator .

An emergency fund should be liquid — in an account that isn’t at risk of significant fluctuation like the stock market.

VR Score

Informative language

Neutral language

Article tone

informal

Language

English

Language complexity