CARES Act Waives 2020 Required Minimum Distributions

Prior to the CARES Act, individuals who reached age 70 1/2 prior to 2020 or age 72 in 2020 or later were required to take required minimum distributions (RMDs) from IRAs or qualified retirement plan accounts. The CARES Act eliminates the RMD requirements for 2020.


Even with the RMDs waived for 2020, it might still make sense to take some amount of distribution from your retirement accounts in 2020. It might also make sense to use qualified charitable distributions in 2020 for your charitable giving.


We regularly work with our wealth management clients to determine the optimal amounts to withdraw from their various accounts in a manner that minimizes income taxes and allows them to meet their needs. This pause in RMD requirements for 2020 creates potential tax planning opportunities for everyone who has reached RMD age.


We are here to assist you in creating a plan for 2020. We will help you determine the proper amounts to withdraw from your retirement accounts that will minimize your income taxes and still allow you to do what matters most to you.



Copyright © 2020 Russell & Associates, LLC. All Rights Reserved.
Web Design by Elevate Media Group Inc