Should I Inherit My Deceased Spouse’s Traditional IRA?
There are a few options you can consider when you inherit an IRA from your spouse. The best option for you will depend upon a variety of factors, and the relevant rules and decision points can be confusing.
To help make the analysis easier, we have created the “Should I Inherit My Deceased Spouse’s Traditional IRA?” flowchart. It addresses common issues that arise when you inherit a traditional IRA from a spouse:
Inheriting the IRA vs. rolling the IRA into the client’s own traditional IRA
10-Year Rule vs. Life Expectancy Rule
RMD calculations
Considerations based on age and income needs
Robert J. Pyle, CFP®, CFA, AEP® founded Diversified Asset Management, Inc., in 1996 to provide personalized, comprehensive wealth management services to successful individuals, families, single women, and business owners. His specialty is addressing the complex financial needs of self-employed professionals, corporate executives, and small-business owners. Our disclosure can be found here. The views, opinion, information, and content provided here are solely those of the respective authors, and may not represent the views or opinions of Diversified Asset Management, Inc. Diversified Asset Management, Inc. cannot guarantee the accuracy or currency of any such third party information or content, and does not undertake to verify or update such information or content. Any such information or other content should not be construed as investment, legal, accounting, or tax advice.