Required Minimum Distribution (RMD)
Annual minimum withdrawal required from Solo 401(k) starting at age 73 (SECURE 2.0 Act).
Definition
Required Minimum Distributions (RMDs) from a Solo 401(k) start at age 73 (raised from 72 by SECURE 2.0 Act, will rise to 75 in 2033). Failure to take an RMD triggers a 25% excise tax (reduced to 10% if corrected timely). RMDs reduce plan assets and may move a plan back below the $250,000 threshold.