Submitted By: someone
Answered: January 9, 2023 1:32 am

I am self-employed and turned age 72 in 2022. Can I postpone my required minimum distributions until retirement?

No. There is no special rule allowing for a postponement of retired minimum distributions (RMDs) for self-employed individuals. Under the 2019 SECURE Act, you were required to take your first RMD for 2022, the year in which you turned 72. If you did not take this first RMD by December 31, 2022, there is no penalty as long as the RMD is taken by April 1, 2023. The second RMD must be taken by December 31, 2023. This is true for your traditional IRAs as well as your qualified retirement plans. In contrast, employees who are not more-than-5% owners and who turned 72 in 2022 may generally postpone RMDs from their company’s qualified retirement plans until retirement (unless the plan does not allow this), but they can’t postpone RMDs from their traditional IRAs.

Note that under the recently enacted SECURE 2.0 Act, the age for commencing RMDs has been increased to 73 for those who turn 72 after 2022. Stay tuned for details on the new SECURE 2.0 Act changes.

Tax Glossary

Qualified charitable organization

A nonprofit philanthropic organization that is approved by the U.S. Treasury to receive charitable contribution deductions.

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