Solo 401k RMD Rules & Table (2025 Update)

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Most people start withdrawing from their Solo 401k accounts after reaching age 59½, when early withdrawal penalties no longer apply. But in some cases, you might not need the funds right away and prefer to let your account continue growing tax-deferred.

However, the IRS doesn’t allow you to defer withdrawals forever. Once you turn age 73, you’re generally required to begin taking required minimum distributions (RMDs) from your Solo 401k.

An RMD is the minimum amount you’re required to withdraw each year from most retirement accounts, including Solo 401k plans. The only retirement plan that doesn’t have RMDs during the owner’s lifetime is the Roth IRA.

If you don’t take your RMD on time, or withdraw less than the required amount, you could face a 25 percent penalty on the amount you failed to withdraw (more on that below).

When Do You Need to Start Taking RMDs from a Solo 401k?

You’re generally required to start taking required minimum distributions (RMDs) from your Solo 401k in the year you turn age 73.

For your first RMD, you have until April 1 of the following year to withdraw the required amount.

After that, all future RMDs typically need to be taken by December 31 each year.

RMD Deadline Rules for 2025

✅ If you turn 73 in 2025, your first RMD is due by April 1, 2026.

✅ If you’re already over age 73, your 2025 RMD must be taken by December 31, 2025.

What If You’re Still Working?

Some employer-sponsored 401k plans may let you delay RMDs until you retire, even if you’re over age 73 — but only if you don’t own 5 percent or more of the company.

Because you own your business, this exception does not apply to Solo 401k plans. You’ll need to follow the standard RMD rules, regardless of whether you’re still working.

How RMDs Are Calculated for Solo 401k Plans

The amount you’re required to withdraw each year as an RMD is based on your Solo 401k account balance and your IRS-assigned life expectancy factor.

The IRS generally calculates your RMD by taking your account balance as of December 31 of the previous year and dividing it by your life expectancy factor. These factors are listed in official IRS life expectancy tables, which were updated in 2022 to reflect longer lifespans.

You can find the relevant life expectancy factor in the RMD table below.

RMD Table for Solo 401k (2025 Update)

Age	Life Expectancy Factor	Percentage of Account Balance
73	26.5	3.78%
74	25.5	3.93%
75	24.6	4.07%
76	23.7	4.22%
77	22.9	4.37%
78	22.0	4.55%
79	21.1	4.74%
80	20.2	4.96%
81	19.4	5.16%
82	18.5	5.41%
83	17.7	5.65%
84	16.8	5.96%
85	16.0	6.25%
86	15.2	6.58%
87	14.4	6.95%
88	13.7	7.30%
89	12.9	7.76%
90	12.2	8.20%
91	11.5	8.70%
92	10.8	9.26%
93	10.1	9.91%
94	9.5	10.53%
95	8.9	11.24%
96	8.4	11.91%
97	7.8	12.83%
98	7.3	13.70%
99	6.8	14.71%
100	6.4	15.63%
101	6.0	16.67%
102	5.6	17.86%
103	5.2	19.24%
104	4.9	20.41%
105	4.6	21.74%
106	4.3	23.26%
107	4.1	24.40%
108	3.9	25.65%
109	3.7	27.03%
110	3.5	28.58%
111	3.4	29.42%
112	3.3	30.31%
113	3.1	32.26%
114	3.0	33.34%
115	2.9	34.49%
116	2.8	35.72%
117	2.7	37.04%
118	2.4	40.00%
119	2.3	43.48%
120+	2.0	50.00%

📝 Note: This table is based on the IRS’s Uniform Lifetime Table (Table III). It applies to Solo 401k account holders and most retirement plan owners who are calculating their Required Minimum Distributions (RMDs).

If your spouse is your sole beneficiary and is more than 10 years younger than you, this table does not apply. Instead, you’ll need to use Table II (Joint Life and Last Survivor Expectancy Table) from IRS Publication 590-B.

How the RMD Percentage Is Calculated

The “Percentage of Account Balance” column is based on the IRS formula:

RMD = Prior Year’s Account Balance ÷ Life Expectancy Factor​

Or, expressed as a percentage:

Percentage to Withdraw = (1 ÷ Life Expectancy Factor) × 100

✏️ Hypothetical Example:

Let’s say you’re 75 years old. The IRS Life Expectancy Factor at age 75 is 24.6. 

That means your RMD is: 

1 ÷ 24.6 = 4.07% of your account balance.

If your account balance on December 31 of the previous year was $300,000, your RMD would be:

300,000 × 4.07% = $12,210

What Happens If You Miss a Solo 401k RMD?

If you miss your required minimum distribution (RMD) deadline, you may be subject to a 25 percent tax on the amount you were supposed to withdraw. This penalty may be reduced to 10 percent if you correct the mistake within two years.

✏️ Hypothetical Example: If your RMD for the year was $5,000 and you missed the deadline, the penalty could be $1,250 (25 percent of $5,000). If corrected within two years, the penalty may be reduced to $500 (10 percent of $5,000).

Can You Get the RMD Penalty Waived?

Yes. The IRS may waive the penalty if your missed RMD was due to a reasonable error and you’re actively correcting it.

To request a waiver:

The IRS will evaluate your request and respond with their decision.

What If You Don’t Have Cash in Your Solo 401k to Take an RMD?

If your Solo 401k is fully invested in non-cash assets — such as stocks, real estate, or private investments — you may need to sell part of those assets to free up enough cash to cover your required minimum distribution.

RMDs must be taken in cash, not in-kind, so it’s important to plan ahead and ensure you have enough liquidity each year.

Can You Withdraw More Than the RMD?

Yes. You’re allowed to withdraw more than the required minimum if you choose. However, any extra withdrawals won’t reduce or carry over to next year’s RMD amount.

Do You Need to Take RMDs from a Roth Solo 401k?

No. As of 2024, Roth Solo 401k accounts are no longer subject to RMDs during the original account owner’s lifetime.

This rule applies to all designated Roth accounts, including Roth Solo 401k plans, thanks to updates in the SECURE 2.0 Act.​

📌 Also read: What Is A Roth Solo 401k?

What If You Have Multiple Retirement Accounts?

If you have multiple retirement plans, you’ll generally need to calculate and take RMDs separately for each one. You can’t combine the amounts or take an RMD from one plan to satisfy the requirement for another.

For example, if you have both a Solo 401k and a traditional 401k from a former employer, you’ll need to take an RMD from each plan individually. 

However, there is an exception for Individual Retirement Accounts (IRAs). While you still have to calculate the RMD for each IRA separately, you can combine the total amount and withdraw it from any one or more of your IRAs. 

It’s important to note that this aggregation rule applies only to IRAs and not to Solo 401k plans or other employer-sponsored retirement plans. You’ll need to follow the RMD rules for each of those accounts individually.

Key Takeaways

Once you turn age 73, you’re generally required to begin taking required minimum distributions (RMDs) from your Solo 401k each year. Missing a deadline could result in a 25 percent penalty, though it may be reduced or waived in some cases. 

Your RMD amount is based on your account balance and IRS life expectancy tables, so it’s important to plan ahead, especially if your funds aren’t in cash. If you have multiple retirement accounts, be sure to understand which ones can be aggregated and which must be handled separately. 

To stay on track and avoid costly mistakes, consider reviewing your account setup or consulting a qualified tax professional.

The Carry Solo 401k Plan comes fully managed and can help with RMD calculations, tax filings, and account compliance. Learn more here.

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