RMD due for spouse in year of inheriting?
Ben (78) died in Jan of 2015 with a $100,000 IRA. Becky (75, his wife and sole bene) takes “his” RMD (assume $5,000) and rolls the remainder to her existing IRA.
Question: Does she have to include the $95,000 ($100,000 less $5,000 RMD) in her 2015 RMD? I’m assuming she will just have to take her RMD based on her 12/31/14 IRA value; otherwise it seems to me that Ben’s IRA will essentially have two 2015 RMDs. Of course, her RMDs will include the full amount in 2016 and beyond.
Thanks for any assistance provided.
Permalink Submitted by Alan - IRA critic on Wed, 2015-02-04 00:03
You are correct. A surviving spouse is not considered to have owned the inherited IRA rolled over for the entire year unless the rollover is done AFTER the year of death. Her 2015 RMD is calculated only on the 12/31/2014 balance of the IRAs she owned all along.