Vanguard says millions of elderly retirees are making a critical mistake that leads to tax penalties

Missing required minimum distributions can lead to large tax penalties.
The Daily Overview on MSN

Vanguard alert: Retirees keep triggering avoidable tax penalties

Retirees who spent decades diligently saving are now losing thousands of dollars to tax penalties that are entirely ...

Many Retirees Are Making This $1.7 Billion Mistake With Their IRAs

Based on an analysis of the firm’s own IRAs, Vanguard researchers found that nearly 7% of account holders forgot to take an RMD last year. The average missed RMD amount was $11,600, generating tax ...
planadviser.com

Missing RMDs Cost Investors $1.7B in Penalties, per Vanguard

More than half of investors with IRA balances under $5,000 missed their required minimum distribution in 2024, according to research by Vanguard. The IRS released this month regulatory updates on ...
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Many retirees forget RMDs, owe big IRS penalties

Once retirees turn 73, they must take required minimum distributions, or RMDs, from their retirement savings accounts. If they don’t, the IRS imposes steep tax penalties. But new research from ...

Retirees Lose Up to $1.7B Annually to IRS Penalties for Making This Year-End Mistake

Retirees face IRS penalties of up to 25% if they fail to take required minimum distributions from pretax investment accounts ...
Business Insider

Vanguard says millions of elderly retirees are making a critical mistake that leads to tax penalties

Many Vanguard clients in their 70s and above missed required minimum distributions from retirement accounts in 2024. Missing RMDs can lead to tax penalties of between 10% and 25% the required amount.