The Sneaky Way Your RMDs Could Cost You Some of Your Social Security Benefits
Your tax bill could look a lot bigger than you were expecting because of this.
Overview
For most people, the annual required minimum distributions (RMDs) that become mandatory at age 73 aren't a huge deal. They're already withdrawing money from their savings to cover their living costs, so they fulfill their RMDs without giving it much thought.
However, if you have a lot of savings, RMDs might force you to withdraw more money from your retirement accounts than you wanted to. This can lead to a higher tax bill and, surprisingly, fewer Social Security benefits, too.
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Details
Source
Originally published at www.fool.com.
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