Ask Terry Questions Required Minimum Distribution Tax Deferral.

Required Minimum Distribution Tax Deferral.

By Terry Savage on March 22, 2025 | Financial Planning / Retirement

Altenative way to temporarily avoid taxes on an RMD by age 73? (i.e. open a Roth IRA, Buy US Savings Bonds, purchase other government funded investments?)

Terry Says

Nope! You must pay ordinary income taxes on your RMDs, and you should arrange to have appropriate taxes withheld from each payment.
If you are still working, you can contribute up to $8,000 of earned income to an IRA, and that would be a tax deduction on your return.
Other than that, there are few tax dodges left to you at this stage of life!

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