Key Takeaways: RMD Rules for 2026
- Annual RMDs under the 10-year rule apply again in certain inherited IRA cases
- More beneficiaries now qualify as Eligible Designated Beneficiaries (EDBs)
- Year-of-death RMD deadlines are more flexible
- A spousal RMD loophole was closed
- Trust-related RMD rules are simpler administratively
- Those born in 1959 now clearly start RMDs at age 73
For years, required minimum distributions (RMDs) have been a moving target, and they’re an important one. RMD rules influence:
- When taxable income appear
- How inherited accounts are distributed
- The administrative burden placed on beneficiaries
Between the original SECURE Act, SECURE 2.0, and a series of temporary waivers, many retirees and beneficiaries have been left asking a simple question:
“What rules actually apply to me?”
Understanding RMD Changes
In July 2024, the IRS finally issued long-awaited final regulations clarifying how many RMD rules will work going forward. These rules are now largely in effect in 2026 and are important for planning today.
At The CP Welde Group, we believe clarity is key to building a strong financial foundation. When you understand how the rules work, it’s easier to make decisions and feel confident about your plan.
Below, we walk through seven important RMD changes and clarifications, in plain language, so you can see what’s changing and why it matters to you.
1. Annual RMDs During the 10-Year Rule Apply Again
One of the most confusing parts of the SECURE Act involved inherited retirement accounts and the 10-year rule.
The IRS has now confirmed:
- If the original account owner died on or after their Required Beginning Date (RBD)
- The beneficiary must take annual RMDs during the 10-year period
Because of widespread confusion, the IRS waived penalties for many missed RMDs from 2021 through 2024. That grace period has ended.
Starting with 2025 distribution years (and continuing in 2026) annual RMDs are now required again in these situations.
Important clarifications:
- Missed RMDs from prior waiver years do not need to be made up
- The 10-year deadline is not extended
- The account must still be fully emptied by the end of year 10
2. Expanded Qualification for Eligible Designated Beneficiaries (EDB)
The final regulations broaden the definition of Eligible Designated Beneficiaries, which can allow for more favorable payout options.
Key expansions include:
- Minor children now include stepchildren, adopted children, and eligible foster children
- Beneficiaries deemed disabled for Social Security purposes qualify under a new safe harbor
- A special disability definition applies to children under age 18
For IRA beneficiaries, medical documentation is not required in many cases. (Documentation rules still apply to employer plans, though they’ve been relaxed.)
3. Year-of-Death RMD Deadlines Are More Flexible Than Before
When a retirement account owner dies without taking their full RMD, the final regulations clarify two helpful points:
- Any beneficiary may take the year-of-death RMD
- The deadline is extended to the later end of the calendar year following the year of death or the beneficiary’s tax filing deadline for that year.
This added flexibility can ease administrative pressure during an already stressful time for families.
- A Potentially Confusing RMD Rule for Older Beneficiaries Has Been Eliminated
Earlier proposed rules required certain older beneficiaries to monitor two life expectancies at once when calculating RMDs.
The IRS eliminated this requirement in the final regulations.
The result? Less complexity, fewer calculations, and fewer opportunities for error, especially for elderly beneficiaries.
- A Spousal RMD Loophole Was Closed (And It’s Staying Closed)
The final regulations retain a rule that prevents surviving spouses from avoiding RMDs by:
- Electing the 10-year rule, and then
- Completing a spousal rollover later
Under the finalized rules, any “hypothetical RMDs” that would have applied must be taken before a spousal rollover can occur.
The message is clear: the IRS intends to enforce annual RMD requirements.
- Trust Beneficiaries Face Fewer Administrative Hurdles
For trusts named as retirement account beneficiaries, the IRS loosened several documentation requirements:
- IRA custodians no longer need trustee documentation to satisfy see-through trust rules
- RMD rules may now be applied separately to subtrusts created immediately upon death
The regulations note that trusts are generally less favorable as a planning strategy after the SECURE Act, but these changes reduce confusion and administrative friction.
- If You Were Born in 1959, Your RMD Start Age Is Now Clarified
SECURE 2.0 created confusion about RMD start ages for individuals born in 1959.
The IRS clarified in related guidance:
- The first RMD year for those born in 1959 is age 73
Current RMD start ages:
- Age 72 (or 70½): Born 1950 or earlier
- Age 73: Born 1951–1959
- Age 75: Born 1960 or later
How to Handle the RMD Rules
The updated RMD rules affect how and when retirement accounts are distributed, and in some cases, how much tax may be due along the way. Understanding how these rules apply can help you avoid missed deadlines, last-minute decisions, and unnecessary stress.
If you’d like help reviewing how the RMD rules fit into your retirement or beneficiary strategy, book a quick conversation and let’s talk through what makes sense for your plan.
Re-Engineering Your Finances:
Financial and retirement planning guidance from Charles Welde of The CP Welde Group in Chadds Ford, PA.
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Frequently Asked Questions About RMD Rules in 2026
When do the new RMD rules take effect?
The final regulations are in effect now in 2026(generally beginning with 2025 distribution years). The proposed regulations may be relied on as guidance now.
Do beneficiaries need to make up missed RMDs from prior years?
No. Missed RMDs from years covered by penalty waivers do not need to be made up.
Can beneficiaries take more than the required minimum?
Yes. Beneficiaries may always withdraw more than the required minimum amount.
Do the RMD rules apply to both IRAs and employer retirement plans?
Yes, though documentation and administrative requirements may differ for employer plans.