Spousal inherited 401(k) – avoid RMD with IRA rollover?
My mother is now 65 and inherited my father’s 401(k) 2 years ago and kept the 401(k) account. This is the year that my father would have turned 70 1/2 and been required to take an RMD. The plan is advising my mother that she must take the RMD this year. I can see from the amount of the RMD that the plan is treating her as a beneficiary and not as an owner. Can she avoid this RMD by rolling over the 401(k) into her own IRA this year? Or would she be required to take the RMD from the 401(k) this year, but then not have to take an RMD from her IRA until she herself is 70 1/2? I could not find a clear answer in the IRS publications. Thank you.
Permalink Submitted by Alan - IRA critic on Sat, 2016-09-17 22:02
Permalink Submitted by R Gibbons on Mon, 2016-09-19 03:07
i appreciate the response