IRA BDA Question
Hello,
I have a client who inherited an IRA from their father and they opened up a IRA BDA. The father also had a 401K where the son was also listed as a beneficiary. Can the portion of the 401K that the son is entitled to be aggregated the IRA BDA that has already been opened and funded?
Thank you.
Permalink Submitted by Alan - IRA critic on Tue, 2024-08-13 17:20
Yes, as long as the 401k is not subject to a different RMD calculation than the IRA. If there is a 2024 beneficiary RMD required from the 401k, it will have to be distributed before the direct rollover. And if there is an issue with completion of the year of death RMD for the 401k that will also have to be distributed prior to the direct rollover.