Inherited Roth IRAs do have withdrawal requirements, and to complicate matters, these distribution rules have recently changed. For Roth IRAs inherited prior to Jan. 1, 2020, beneficiaries may take RMDs over their lifetimes (based on IRS life expectancy tables). However, following the passage of the SECURE Act in 2019, most beneficiaries no longer have the option of receiving lifetime RMDs for IRAs bequeathed after 2019.
The exceptions are beneficiaries who are younger than the original account owner by 10 years or less, beneficiaries who are chronically ill or disabled, and minor children. Minor children can take RMDs until they reach legal adulthood. Thereafter, they have 10 years to withdraw the remainder of the funds. Students may have the option to delay the start of the 10-year window until they reach age 26.
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