Our client died in 2023, age 90, and named his minor grandchild, age 11, as a 6% beneficiary. The exact wording of the beneficiary is Jane Smith custodian UTMA/MI for Joe Smith. Raymond James permitted us to establish a beneficiary IRA account for Joe Smith with Jane Smith as the custodian under a UTMA/MI agreement. (State of Michigan)

Since our client died after RBD and his beneficiary is a NEDB, my sense is that RMDs begin in 2024 using Joe’s life expectancy and continue until he reaches age 18. Then the 10 year rule begins at Joe’s age 18 in 2030. (2023+7= 2030) The final RMD must be withdrawn by 12/31/2040.

Is this correct? Thank you in advance!