How To Take An RMD From A Fidelity IRA | Fidelity Investments

[@PH-dm8ew]

Can I withhold 100 % of rmd for taxes from an inherited ira to pay taxes on a roth conversion?

[@Swimallsummer]

Can you do an “In Kind” transfer when taking an RMD ? In other words, when the rmd is transferred to your taxable account it moves over as shares of the same investments you held in the tax deferred account . Thank You

[@fidelityinvestments]

Hi there, that's a great question! Yes, you can move shares in kind out of an IRA as a distribution as long as you have a Fidelity brokerage account that can receive the securities. However, there are a few caveats. First, the amount of the distribution will be based on the next closing price of the shares being moved. Second, you cannot withhold taxes on an in-kind IRA distribution like you can when making a cash distribution. Those interested can learn more about required minimum distributions by searching "RMD" on our website. Please reach out to us if you have any other questions about taking a distribution, and thanks again for your question!

[@simonsonjh]

Where does the money go when it is withdrawn? Do I need to make a separate, non-tax deferred account?

[@fidelityinvestments]

Hey there. We can certainly jump in with some extra insight here. In short, you're on the right track. When you're ready to take your Required Minimum Distribution (RMD), this process is as simple as taking a withdrawal to a non-tax-deferred account. While which account to send it to specifically is your prerogative, you can certainly open an individual account within Fidelity and journal your RMD there to ensure it's satisfied. Feel free to check out the link below for even more insight on RMDs. What to Know About RMDs: www.fidelity.com/retirement-ira/rmd As always, we're just a few clicks away if you have any lingering questions. We'll see you around!

[@gregblair5139]

I would hope Fidelity contacts it's clients proactively to prevent such penalties from occurring. I have over $3 million invested at Fidelity, and I would expect this once I'm old enough. In my case, unless I have a medical event, I am too proactive to not catch this.

[@fidelityinvestments]

Hey there! We try to alert clients about their Required Minimum Distributions (RMDs) on Fidelity.com and the app by telling them that they need to take their RMDs in a few different places across the systems. The "Retirement Distributions" center also shows their RMD amount for any Fidelity accounts and how much they've taken for the year. We appreciate you being proactive and aware of the need to take one.

[@gregblair5139]

@@fidelityinvestments - That assumes that people periodically log in. If not, you should try to reach them by phone. Some people my age (even more so those a few years older), are quite technophobic and you really need to make sure they know.