430b to spouse 72 still working
client who was 73 passed away.
wife is 72 and still working
she has a 403b and not taking RMD since she is still working and can wait until 75
Question:
a. can she have her husband’s 403b transferred to her 403b and still not take the RMD until 75?
or
b. if she does transfer her husbands’ 403b to her 403b, will that trigger having her to take an RMD now instead of waiting to 75?
or
c. does she have to rollover/transfer her husbands’ 430b to an IRA and then take the RMD based on her age from now on?
Thank you
Douglas
Permalink Submitted by Alan - IRA critic on Tue, 2018-02-20 23:35
The inherited spousal 403b account cannot be transferred to the account of the surviving spouse per 1.043(b)-6, e) 4. Therefore, c) is the best solution. There will be a lower RMD and better RMD provisions for her beneficiary is she rolls it over rather than taking beneficiary RMDs from the inherited 403b.