SPOUSE BENEFICIARY

When a Spouse is inheriting a Traditional IRA from the dying spouse who is under 70 ½ years old, there are FOUR options:

  1. Spousal Transfer (treat as your own account)
  2. Open an Inherited IRA (Life Expectancy Method)
  3. Open an Inherited IRA (5-Year Method)
  4. Lump Sum Distribution

When a Spouse is inheriting a Traditional IRA from the dying spouse who is over 70 ½ years old, there are THREE options:

  1. Spousal Transfer (treat as your own account)
  2. Open an Inherited IRA (Life Expectancy Method)
  3. Lump Sum Distribution

When a Spouse is inheriting a Roth IRA, there are FOUR options:

  1. Spousal Transfer (treat as your own account)
  2. Open an Inherited IRA (Life Expectancy Method)
  3. Open an Inherited IRA (5-Year Method)
  4. Lump Sum Distribution

NON-SPOUSE BENEFICIARY

When a Non-Spouse is inheriting a Traditional IRA from an account holder who is under 70 ½ years old, there are THREE options:

  1. Open an Inherited IRA (Life Expectancy Method)
  2. Open an Inherited IRA (5-Year Method)
  3. Lump Sum Distribution

When a Non-Spouse is inheriting a Traditional IRA from an account holder who is over 70 ½ years old, there are TWO options:

  1. Open an Inherited IRA (Life Expectancy Method)
  2. Lump Sum Distribution

When a Non-Spouse is inheriting a Roth IRA, there are THREE options:

  1. Open an Inherited IRA (Life Expectancy Method)
  2. Open an Inherited IRA (5-Year Method)
  3. Lump Sum Distribution