[damper99]

Look at the bright side for 401k balances. Lower balance means taking a smaller RMD, so you pay less taxes. Biden’s giving those over 72 a tax break.

[CatOwner]

Look at the bright side for 401k balances. Lower balance means taking a smaller RMD, so you pay less taxes. Biden’s giving those over 72 a tax break.

This year's RMD is based on *last* year's value on December 31, 2021. For mosts, their investments were worth a lot more than they are now. If you are still waiting to take an RMD in 2022, you get to lock in the loss of value since that date.

[lgjhn23]

“..Look at the bright side for 401k balances. Lower balance means taking a smaller RMD, so you pay less taxes. Biden’s giving those over 72 a tax break....”

Just took my first RMD this week.
To my grave, I continue pray a pox and a curse on whoever the bassturd(s) were, along with their families, that came up with the insidious, evil idea to tax the labor of a working man’s hands.

[Silentgypsy]

The RMD is calculated at the beginning of the year IIRC. Therefore, a larger chunk of a smaller balance is taken. We really are on the way to Halifax in a handcart.

[Recovering Ex-hippie]

Never thought of that one..good post