Inherited IRA distributions for ’21, ’22, ’23

Submitted by Carla Ann Goedtke on Fri, 2023-03-03 16:27

Hello – does the non-spouse beneficiary need to make up distributions for ’21 & ’22?
1. Parent was taking RMD and passed away in 2021
2. Adult child is the beneficiary (more than 10 years younger) and he has not taken any RMD

When I run Inherited IRA calculator: https://content.schwab.com/ira/understand-iras/ira-calculators/inherited-rmd/ it gives error: “Owner’s Date of Death must be before 2020”.



Submitted by Alan - IRA critic on Fri, 2023-03-03 16:56

  • The beneficiary must have completed the 2021 year of death RMD if parent did not.
  • The IRS has waived the penalty for not taking the 2022 beneficiary RMD since the proposed Regs have not been finalized. Assuming they are finalized by fall, beneficiary will have to take annual RMDs from 2023 to 2030 with divisors determined from beneficiary age at the end of 2022.
  • Therefore, if parent completed their 2021 RMD the beneficiary has not missed any RMDs to date.

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