📋 Year-End IRA

IRA Year-End Reminders
What Actually Expires December 31

Most articles lump every IRA deadline together. They shouldn't. December 31 has its own set of irreversible actions — RMDs, Roth conversions, QCDs — that can't be made up after the year flips. Here's the checklist and when to start.

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The deadline most people get wrong

IRA contributions for the prior tax year are due April 15. That's well-known. Less well-known: a different set of IRA actions actually expires on December 31 of the current year — and those have real penalties when missed.

Two distinct IRA deadlines

  • December 31: RMDs, Roth conversions, QCDs, beneficiary updates, in-kind distributions
  • April 15: Traditional and Roth IRA contributions for the prior tax year
  • SEP IRA contributions: business tax filing deadline including extensions (often October 15)

See the 2026 IRA contribution deadline page for the April 15 details. This page covers the December 31 items.

Year-end IRA checklist

Five items, all due December 31. Each has a different processing time at most custodians.

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Required Minimum Distribution (RMD)

If you're 73 or older with a Traditional IRA, you must take an RMD by December 31. Miss it and the IRS penalty is 25% of the amount you should have withdrawn — reduced to 10% if you correct it within two years.

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Roth conversion

Converting Traditional IRA money to Roth must happen by December 31 to count for the current tax year. The conversion is taxable, but locks in the current tax bracket. Conversions cannot be undone — plan for the tax bill.

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Qualified Charitable Distribution (QCD)

If you're 70½ or older, you can transfer up to $108,000 (2026) directly from your IRA to a qualified charity. It satisfies your RMD without counting as taxable income — but only if completed by December 31.

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Beneficiary designation review

Not strictly a December 31 deadline, but year-end is when most planners review beneficiaries against life events — marriages, divorces, births, deaths. IRAs pass via beneficiary form, not your will.

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60-day rollover completion

If you took a distribution intending to roll it over to another IRA, you have 60 days to deposit it. If that 60-day window crosses December 31, the deposit must still hit before day 60 — but year-end paperwork delays can blow the window.

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In-kind distributions

If you're transferring securities (not cash) out of an IRA — for an RMD, charitable contribution, or other purpose — custodians can take 1-2 weeks to process. Submit the request by mid-December at the latest.

Why a December 1 reminder beats a December 28 reminder

Year-end IRA actions take time at the custodian. RMD calculations use the prior December 31 balance and your IRS life expectancy table — easy if you know where to look. QCDs require the custodian to cut and mail a check directly to the charity, which can take 1 to 2 weeks. In-kind transfers of securities are slower still.

A reminder fired December 1 gives you four full weeks. A reminder fired December 28 leaves you scrambling on the last business day of the year, when custodian phone lines are slammed and processing queues are backed up.

For the contribution deadline (April 15) reminder, see the main IRA contribution page. For last-minute contribution mechanics, see the last-minute IRA contribution guide.

Set a December 1 year-end reminder

Recurring annually. You'll get an email December 1 every year, with four weeks to handle RMDs, conversions, and QCDs before the December 31 wall.

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Common questions about year-end IRA deadlines

What's the difference between the December 31 and April 15 IRA deadlines?

December 31 is the deadline for actions tied to the calendar year — Required Minimum Distributions (RMDs), Roth conversions, and Qualified Charitable Distributions (QCDs). April 15 is the deadline for funding contributions for the prior tax year. Most people conflate them, then miss one.

What is the RMD deadline and what happens if I miss it?

Required Minimum Distributions for Traditional IRAs must be taken by December 31 each year, starting at age 73. Miss it and the IRS imposes a 25% excise tax on the amount you should have withdrawn (down from 50% before SECURE 2.0). The penalty drops to 10% if corrected within two years.

When is the deadline for a Roth conversion?

December 31 of the year you want it to count. A conversion executed January 2 counts toward that new tax year. If you want the tax impact in 2026, the conversion must be completed by December 31, 2026. Unlike contributions, conversions cannot be backdated.

Can I do a Qualified Charitable Distribution after December 31?

No. QCDs must be transferred from your IRA directly to a qualified charity by December 31 to count for that tax year. The distribution must show the December date on your IRA statement. QCDs satisfy your RMD up to $108,000 (2026 limit) without counting as taxable income.

What other IRA items have a December 31 deadline?

Beneficiary designation reviews, calculating your prior-year RMD if you turned 73 (first RMD can be delayed to April 1 of the following year), 60-day rollover completions, and any in-kind distributions. Roth conversions for the current tax year also fall here.

When should I set the year-end reminder for?

Early December — around December 1 or 5. That gives you 4 weeks before the deadline to calculate RMDs, decide on conversions, and process QCD requests (which can take 1-2 weeks at custodians). A December 28 reminder is too late for most actions.

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