How Is Your First RMD Different From Later RMDs?
The first year a retirement account holder becomes subject to required withdrawals looks different from every year after it, thanks to a single scheduling rule that catches a lot of people off guard.
The short answer
The first required minimum distribution is the only one that comes with an extended deadline — it can be delayed until April of the year after the account holder reaches their required beginning age, rather than needing to be taken by December 31 of that first year. Every required distribution after that first one follows the standard December 31 deadline, which means delaying the first one can result in two required withdrawals landing in the same calendar year.
Why the deadline works this way
The government sets a required beginning date for when distributions must start, but it builds in flexibility for that very first withdrawal, allowing it to be pushed into the following spring. This gives an account holder a bit of extra time to plan the first distribution around other financial factors. However, choosing to use that extra time doesn’t change when the second required distribution is due — that one still follows the normal end-of-year deadline for its own year.
What the “double distribution” year looks like
- Delaying creates overlap. If the first distribution is delayed into April of the following year, the second distribution for that same following year is still due by that year’s December 31, meaning both amounts get withdrawn within the same 12 months.
- That overlap can affect taxable income. Because required distributions are generally taxed as ordinary income, receiving two years’ worth of withdrawals in a single calendar year can push that year’s income unusually high, since how tax brackets work means a larger stack of income in one year can be taxed at higher marginal rates than the same amount spread across two years.
- Taking the first one on time avoids the overlap. An account holder who takes the first required distribution within its original year, rather than delaying it, keeps each year’s distribution in its own separate tax year going forward.
How later years work by comparison
Once past that first distribution, the calculation becomes more routine: every subsequent required distribution is based on the prior year-end account balance and is due by December 31 of its respective year, without the extended deadline option that applied only to the first one.
What to weigh
Deciding whether to take the first distribution in its original year or delay it into the following spring generally comes down to weighing the tax impact of bunching two distributions into one year against whatever benefit the extra planning time offers. Because required distribution rules and deadlines are set by the government and can change, and because the best approach depends on each person’s broader tax picture, this is a decision worth thinking through with current official guidance rather than a fixed rule of thumb.
A practical habit
Marking both the extended first-year deadline and the standard second-year deadline on a calendar as soon as the required beginning age is reached can help avoid an unplanned double-distribution year and give more room to think through the tax tradeoffs in advance.