Inherited IRA by NEDB, decedent passed before RMD
Just to be sure, if the decedent passed at age 58, obviously before his RMD, and IRA inherited by sister (NEDB), the sister does not have to take an RMD each year, but the account must be closed out by year 10. Correct?
Permalink Submitted by Alan - IRA critic on Wed, 2022-05-11 17:13
That is correct if the beneficiary sister is more than 10 years younger than decedent using actual DOBs. If sister is NOT more than 10 years younger, then she is an EDB and can stretch the inherited IRA, or according to the proposed Secure Act Regs, she could opt out of EDB status and into the 10 year rule if she perceives an advantage with this option.