IRA owner died with ex-wife listed as sole beneficiary
We have a client who passed away at the age of 57. His ex-wife of just 2 months is the sole primary beneficiary. Even though the beneficiary form states “spouse”, I would assume that we will need to treat this as a non-spouse beneficiary and she will need to follow the 10yr rules?
Permalink Submitted by Alan - IRA critic on Wed, 2022-08-31 18:48
Yes, she is a non spouse beneficiary, but an EDB unless she is more than 10 years younger. As an EDB she could stretch the inherited IRA over her remaining single life expectancy with no 10 year rule applying.
Permalink Submitted by Wendy Mommaerts on Wed, 2022-08-31 18:57
Oh yes, she is the same age as the IRA owner so she is not more than 10yrs younger than the IRA owner. She will be able to stretch the inherited IRA over her single life expectancy. Thank!