Can an eligible designated beneficiary use inherited IRA distribution rules?

Generally, an eligible designated beneficiary may use the lifetime distribution rules that were in effect prior to 2020 and are specified in the "For an inherited IRA received from a decedent who passed away before January 1, 2020" section below. We can help you calculate the RMD on an inherited IRA using the online Inherited RMD Calculator .

What happens if a beneficiary inherited an IRA?

Note that the old rules that allowed a beneficiary who inherited an IRA to stretch out withdrawals over decades in some cases, are still in place if the person who owned the account died before Jan. 1, 2020. Some beneficiaries of IRA accounts whose owners died in 2020 or later are exempted from the 10-year rule.

What if I inherited an IRA from someone other than my spouse?

If you, as an individual, inherited an IRA from someone other than your spouse, there are different withdrawal rules depending upon the type of beneficiary you are (an Eligible Designated Beneficiary or a Designated Beneficiary). Furthermore, if the beneficiary is a non-individual like an estate, trust, or entity, other rules apply.