The new law requires IRA owners to start taking distributions from their account by age 73. Effective in 2023, the IRS increased the age from 72 to 73 for IRA account owners to begin taking the Required Minimum Distribution (RMD) from their accounts. Failure to withdraw the required amount will result in a penalty of up to 50% of the required withdrawal.

One solution is to convert the Traditional IRA into a Roth IRA (after paying taxes on income), which is not subject to mandatory withdrawals.