Bene IRA kids and stepson inherited
Hi. IRA owner passed away, age 62. Kids and Step-son are the beneficiaries. When do the Bene’s have to begin taking RMD’s? Would it be next year or when the owner would have turned 70 1/2? Thanks,
Hi. IRA owner passed away, age 62. Kids and Step-son are the beneficiaries. When do the Bene’s have to begin taking RMD’s? Would it be next year or when the owner would have turned 70 1/2? Thanks,
Permalink Submitted by Alan - IRA critic on Wed, 2017-07-19 17:28
Assuming they correctly want to avoid the 5 year rule, their life expectancy RMDs must begin by the end of next year. Separate inherited IRA accounts should be established for each, and if that is done by the end of next year, each child’s 2018 RMD will be calculated using Table I and child’s age as of 12/31/2018. Only a sole spousal beneficiary can delay RMDs until the deceased spouse would have reached 70.5.