RMDs
Good afternoon Terry, in your article on November 16th you mentioned “ you can always put your RMD money into CDs and T-Bills to continue to earn interest” once we reach the magical age of 73 when the RMDs kick in. I wanted to know at age 67 which I am now if I place money into these CDs and T-Bills when I reach 73 and they earn interest are they subject to taxes?
Terry Says
CDs are subject to Federal and state taxes, if you live in a state with a state income tax. T-bill interest is Federally taxed, but escapes any state income tax.
