Blog Archives

Current federal spending bill has changes to retirement savings rules

They’re mostly good changes. Here is the NY Times article.

Most of it applies to people who are still working and young or young-ish. But the big news for retirees is that the age at which you must begin taking Required Minimum Distributions is going up again to 73 next year. It will be going up to 75 eventually.

Whoopee! just when your editor was set to start RMDs next year, we get a year’s reprieve.

Warning: this bill hasn’t passed Congress yet, so it may not happen like this. Keep watching your reliable news sources for updates.

The dreaded RMDs; doctors for us

If you are lucky enough to have retirement savings in an IRA, a 401(k) or 403(b) (these are the same kind of thing, the latter being the one you’d have if you worked for nonprofits) and you’ve turned 72 this year, you must take a distribution from your savings, i.e., money, before the end of the year. The amount is calculated according to how much is in your account(s).

Here is a general guide to this process but most of us will need expert advice on how to do it safely (to avoid penalties) and sensibly (to maximize the benefit to you).

In completely unrelated news, we happened to see on Twitter today that this week is when doctors finishing their residencies learn whether the fellowships (extra training in a subspecialty, like hematology-oncology for example, which is a subspecialty of internal medicine) they’ve applied for have accepted them. Some fellowship programs fill: cardiology matched 100% of its places with applicants.

The one at the very bottom of the list? That only matched 33% of its places?

Geriatrics, my friends. Geriatrics. With an ever-increasing share of our US population being people > 65, there aren’t now, and are not going to be, enough docs with expertise in the health problems of aging folks to go around. We’d better hope that nurse practitioners can pick up the slack.