Clarification for Inherited IRA RMD’s
I know there are many variables on this topic, but i am simply trying to confirm the following: If an IRA owner dies with an IRA that currently requires the RMD, with say 3 children as beneficiaries, and they all plan to open an INHIRA, are ALL BENEFICIARIES RMD then calculated with the oldest bene’s DOB?
Permalink Submitted by Alan - IRA critic on Wed, 2017-03-01 22:39
It does not matter what the age is of the IRA owner who passes. If the beneficiaries of that IRA establish separate inherited IRA accounts no later than 12/31 of the year following the year of IRA owner’s death, each beneficiary can use their own age for beneficiary RMDs. For those who have not created separate accounts by that deadline, the age of the oldest beneficiary of the IRA will apply. Note that if the owner has not completed the RMD for the year of death, the beneficiaries are jointly responsible for taking out the rest of the year of death RMD.