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✉news BusinessPersonal Finance first seen 10 d ago, last 9 d ago, peak #27

IRS Waives 25% Retirement Withdrawal Penalty for Most Who Ask

Original: Miss an RMD and the IRS Penalty Is 25%. File Form 5329 With a Two-Paragraph Letter and the Agency Has Waived It for Nearly Everyone Who Has Asked

Retirees who miss a required minimum distribution face a 25% penalty from the IRS, but there is a well-known workaround: file Form 5329 with a short letter explaining the mistake and request a waiver. The agency has reportedly granted the waiver to nearly everyone who has asked, making the steep penalty largely avoidable for those who act.

Why now: Retirees and financial advisers are sharing a simple way to avoid a costly IRS penalty on missed required minimum distributions.

IRSForm 5329

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