@jan271 wrote:
Is it definitely true that "10 years or younger" only applies to spouses? IRS Publication 590-B seems to state otherwise (see below):
"Eligible designated beneficiaries.
An IRA beneficiary is an eligible designated beneficiary if the beneficiary is the owner's surviving spouse, the owner's minor child, a disabled individual, a chronically ill individual, or any other individual who is not more than 10 years younger than the IRA owner."
and
"If the owner died before his or her required beginning date (defined earlier), and you are an eligible designated beneficiary, you must generally base required minimum distributions for years after the year of the owner's death using your single life expectancy shown in Table I in Appendix B, as determined under Beneficiary an individual later."
There are two different rules. The one that I pointed out is for the life expediency chart to use.
What you quote is the SECURE Act law that was passed that requires all funds in an inherited IRA to be distributed within 10 year of the death of the IRA owner unless you are an "eligible designated beneficiary" which is the owner's surviving spouse, the owner's minor child, a disabled individual, a chronically ill individual, or any other individual who is not more than 10 years younger than the IRA owner.
The publication tell you how to calculate the RMD if the Owner Died On or After Required Beginning Date and if the Owner Died Before Required Beginning Date.
It can get complicated for inherited IRA's.
Here is an article that explains it better:
https://www.fidelity.com/learning-center/personal-finance/retirement/non-spouse-IRA
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
