How to Calculate Required Traditional IRA Distributions
- 1). Gather the closing statements for all of your IRA accounts at the end of the previous calendar year. Find the year-end value of your accounts and add them together.
- 2). Determine your age on the last day of the previous calendar year and write it down. Write down your spouse's age as well, if you are married, even though your IRA account is titled only in your name. If your spouse is more than 10 years younger than you are, the calculation of your required minimum distribution will be affected.
- 3). Consult IRS Publication 590 to determine the "divisor," which the IRS uses as an approximation of your life expectancy. The divisor is listed in a chart, so locate your age from Step 2 and cross-reference that number with your spouse's age. Write down the amount of the divisor listed for that age.
- 4). Divide the total value of your IRA accounts in Step 1 by the divisor in Step 3. The result of this calculation is your required distribution amount.
