Inherited Roth IRA
Hello,
Client’s father recently passed away w/ a Trad. IRA and Roth IRA. Left each 50/50 to client and his sibling. We confirmed w/ TDAI that father took his 2017 RMD from his Trad. IRA.
I just want to confirm that Client will take his 1st RMD from BOTH the Inherited Trad. IRA AND Inherited Roth IRA by 12/31/2018 (with no RMD being required by Client in 2017 since the 1st RMD by a beneficiary would need to be taken by Dec. 31st of the year following death).
Thank you.
Jason
Permalink Submitted by Jason Hochstadt on Tue, 2017-09-12 21:03
Of note, we also confirmed with TDAI that the father’s Roth IRA had been in place since at least 2007 – so all RMDs from Client’s Inh. Roth IRA should be tax-free. Thanks.
Permalink Submitted by Alan - IRA critic on Tue, 2017-09-12 23:50
Yes, you are correct on both counts. The separate inherited IRA accounts only need to be estabished by 12/31/2018 for each beneficiary to use their own single life expectancy for their 2018 inherited IRAs RMDs.