Under the new SECURE Act signed into law December 2019, non-spouse beneficiaries will have to withdraw all the funds in the inherited IRA within 10 years from the death of the original account owner. It applies to IRAs inherited after Dec. 31, 2019. By naming an "eligible designated beneficiary" (EDB) on your IRA account (spouse, minor children up to majority age, disabled or chronically ill individuals, etc) it will provide the EDB the opportunity to "stretch" out the IRA proceeds over his/her life expectancy. This gives the EDB more time to take advantage of the tax-deferral status of the IRA assets. Please keep in mind that distributions will be subject to any applicable federal and state income taxes. Use this calculator to provide a hypothetical projection of the required minimum distributions for you and your beneficiary. For non EDBs the calculator will amortize the withdrawals over the new required 10 year period.
This information may help you analyze your financial needs. It is based on information and assumptions provided by you regarding your goals, expectations and financial situation. The calculations do not infer that the company assumes any fiduciary duties. The calculations provided should not be construed as financial, legal or tax advice. In addition, such information should not be relied upon as the only source of information. This information is supplied from sources we believe to be reliable but we cannot guarantee its accuracy. Hypothetical illustrations may provide historical or current performance information. Past performance does not guarantee nor indicate future results.