RMD for Father who died in Oct 2013
My apologies if this is addressed elsewhere, as I couldn’t find it. Dad turned 70 1/2 on 4/25/13. He died on 10/8/13. As I use the RMD calculators available on the web, I see that the total of his calendar year IRA distributions taken in 2013 exceeds his RMD requirement for 2013. My question is, can I use his 2013 distributions from prior to his date of death to satisfy his 2013 RMD requirement? If so, than it appears that my mother could transfer the IRA to her name and not have an RMD requirement for 2014 (she is 66). Is that all correct? I would appreciate any help. Thank you.
Permalink Submitted by mk foss on Wed, 2013-11-13 18:26
If Dad turned 70 1/2 in April 2013, his “required beginning date” for RMDs is April 1, 2014. Since he passed away before that date, no 2013 RMD is required. With your mohter as beneficiary, she could roll the IRA into her own name at any point without taking a distribution first. It may be easier if she does it before 12/31/2013.
Permalink Submitted by Terry Graham on Wed, 2013-11-13 21:40
Thank you.
Permalink Submitted by Alan - IRA critic on Wed, 2013-11-13 23:49
Sorry to hear of your loss. Dad took his 2013 RMD, and your mother would need to take beneficiary RMDs starting in 2014 if she does not roll the account over. Another reason to roll it over will be benefit HER beneficiary after her passing. If she were to pass while the IRA was in inherited status, her beneficiary would not get a new life expectancy stretch. But if she rolls it over to her own name, her beneficiary will be able to take life expectancy RMDs based on her beneficiary’s age.