Fidelity IRA Proportional Distributions Calculator
Understanding how Fidelity calculates IRA proportional distributions is crucial for retirement planning. This calculator helps you estimate your Required Minimum Distributions (RMDs) and plan your withdrawals accordingly.
- Enter your age, current IRA balance, and life expectancy.
- Click ‘Calculate’.
- View your results and chart below.
The formula Fidelity uses to calculate IRA proportional distributions is:
RMD = (IRA Balance / Life Expectancy) * (1 + (Age / Life Expectancy))
| Age | IRA Balance | Life Expectancy | RMD |
|---|---|---|---|
| 65 | $500,000 | 25 | $10,000 |
| Age | Average IRA Balance | Average Life Expectancy |
|---|---|---|
| 65 | $150,000 | 20 |
- Consider your income needs and tax situation when planning your RMDs.
- Regularly review and update your plan as your circumstances change.
What are Required Minimum Distributions (RMDs)?
RMDs are the minimum amount you must withdraw from your traditional IRA or employer-sponsored retirement plan each year, starting at age 72.
Learn more about RMDs from the IRS
Retirement statistics from the U.S. Bureau of Labor Statistics