Inherited Roth IRA requirements

Could you please clarify:

I believe, if a designated beneficiary inherits a Roth IRA, the 10 year rule applies, so distributions are optional for years one through nine and the account must be fully distributed no later than year 10.

HOWEVER in very black and white terms,

Per Fidelity’s website at the following link, it state “IF YOU INHERITED A ROTH IRA….YOU MUST TAKE RMDS”:
https://www.fidelity.com/building-savings/learn-about-iras/inherited-ira-rmd

Per Vanguard’s website at the following link, it states “BENEFICIARES WHO INHERIT ROTH IRAS MUST TAKE RMDS”:
https://investor.vanguard.com/inheriting-accounts/rmd-rules-for-inherited-iras

In more “grey terms,

Per the IRS website at the following link, it states first “inherited Roth IRA accounts are subject t the same RMD requirements as inherited traditional IRAs”. On its own, that statement could be interpreted a few ways, but the IRS website follows up in the next paragraph stating “Distributions from another Roth IRA cannot be substituted for these distributions unless the other Roth IRA was inherited from the same decedent”. To me this would imply that RMDs must be taken and cannot be substituted for withdrawals from Roth accounts unless they are from the same decedent.
https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-beneficiary

Could you please clarify if RMDs are required on inherited Roth IRAs for years one to nine?

Thank you so much!!



  • The proposed regulations do not require annual RMDs from an inherited Roth IRA under the 10-year rule.  There is little reason to expect this to change when the regulations are finalized.
  • It appears that Fidelity and Vanguard are waiting until the regulations are finalized before updating their respective web pages.  Fidelity’s page has a note to this effect.
  • Under the 10-year rule, any amount that remains in the Roth IRA in the 10th year following the year of the participant’s death is a required distribution, so Fidelity’s and Vanguard’s technically are not incorrect even under the proposed regulations since they do not say that *annual* RMDs are required.  Also, an Eligible Designated Beneficiary who does not opt into the 10-year rule is subject to annual RMDs.

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