Inherited Roth IRA-non-spousal
Quick question, is there an annual requirement to withdraw from an Inherited Roth that is under the 10 year rule? Original owner was taking her RMD from a Traditional IRA but not touching the Roth. Can I leave the Roth untouched for the 10 yrs or must I make an annual non-taxable withdrawal? If there is an annual withdrawal required, is there a chart to use to calculate the required amount? Thanks.
Permalink Submitted by Alan - IRA critic on Wed, 2022-06-29 16:13
There is no annual distribution required when the 10 year rule applies since the Roth owner is always treated as passing prior to RBD since a Roth has no RBD. You are best served to not take any distributions until the lump sum distribution in year 10 to give the balance a chance to generate tax free gains over that period.
Permalink Submitted by Patricia Giroux on Thu, 2022-06-30 01:54
Thank you for the quick response! I hope you know how much your answers are appreciated by us not so knowledgeable individuals!