Non Spouse Inherited IRA
Two sisters inherit IRA from deceased parent.Each would like to do inherited IRA stretch. As “non spouse”, RMD’s must begin immediately. Can each sister stretch payments based on their own age? Or is it based on some other formula, like the age of the youngest/oldest?
Permalink Submitted by Alan - IRA critic on Fri, 2013-04-19 17:41
If they create separate inherited IRA accounts by the end of the year following parent’s death, they can each use their own life expectancies for their RMDs. If the separate accounts are not created by that deadline, the age of the oldest must be used for both sister’s RMD calculation. The sisters are also responsible for completing RMD of the parent for the year of death if parent had not done so.