Goldman Says AI Is Driving a 22% Earnings Surge. For a 68-Year-Old, the Rally Swelling His 401(k) Is Inflating the RMD Tax Hit Waiting at 73.

The article says Goldman Sachs expects S&P 500 Q2 earnings to rise about 22% year over year, driven by AI investment and energy-sector strength. While that rallies the market and boosts retirement account balances, it also creates a hidden tax problem for older investors with traditional 401(k)s and IRAs. Because required minimum distributions (RMDs) are based on the prior year-end account value, today’s gains will increase mandatory withdrawals starting at age 73 for many retirees, potentially raising taxable income for life. Larger RMDs can also push up the share of Social Security benefits subject to tax and trigger higher Medicare premiums through IRMAA. The piece frames this as a retirement-planning issue rather than a trading call: investors may want to consider pre-RMD withdrawals, Roth conversions, or charitable distributions to reduce future tax pressure.