Inherited IRA Rules

The 2024 final regulations · reviewed September 5, 2026

Tells you which withdrawal rule applies to a retirement account you inherited, and by what year it must be empty. About

In plain words. When you inherit an IRA or 401(k), the law says how fast you must take the money out. It depends on who you are to the person who died, whether the account is a Roth, and whether they had already reached the age for required withdrawals. Most non-spouse heirs have ten years to empty it; some must also take something out every year along the way. This tool sorts you into the right rule and gives the deadline year.

Why it matters. Missing a required withdrawal costs a 25 percent penalty on the amount missed. The rules changed recently and were unsettled for years, so many people are unsure what they owe.

An example. An adult child inherits a traditional IRA from a parent who was already taking required withdrawals. The account must be empty by the end of the tenth year after the death, and a withdrawal is required in each of the nine years in between.

Where it stops. It gives the rule and the year, not the dollar amounts, which need a life-expectancy table and the balance. If a trust is the beneficiary, or the account is in a company plan with its own rules, the attorney or the plan decides. Everything it leaves out.

Who inherits

Surviving spouseThe owner's minor childDisabled or chronically illNot more than 10 years youngerAnother person (an adult child, a grandchild, a friend)An estate, a charity, or a trust that does not look through

The account type

Traditional IRA or 401(k)Roth IRA

The owner's year of birth

The owner had to start required withdrawals at age 72, reached in 2017.

Year of death

The owner was 81, so the death came on or after the date required withdrawals had to begin.

The ten-year rule

Empty by 2036

Empty by December 31, 2036. The owner had reached the required beginning date, so annual distributions on your life expectancy are required in each of years 2027 through 2035, and the balance by the end of 2036.

Deadline to empty the account: Dec 31, 2036; 10 years after the death
Yearly withdrawals required: From 2027; Each year, last year-end's balance divided by the IRS life expectancy figure
Years the IRS waived: None; The IRS's final rules apply from 2025

This follows the inherited retirement account rules under the SECURE Act and the IRS's 2024 final regulations, including the waiver in Notice 2024-35. It tells you which rule applies and the deadline, not the dollar amounts, which need the IRS life expectancy table and the account balance. It leaves out a trust that passes its terms through to its beneficiaries, someone who inherits from a beneficiary, splitting one account among several heirs, and a 401(k) plan's own rules, which can be stricter. The penalty for a missed withdrawal is 25 percent of the amount, reduced to 10 percent if corrected in time. Educational, not advice.

This is a simplified model, not your actual tax return or plan. It only knows what you type in, leaves out rules that may apply to you, and cannot weigh the other facts and trade-offs a real decision depends on. Before you act, talk with a professional who knows your whole situation.

Educational only, not investment, tax, or legal advice. Results are hypothetical estimates that vary with each use and over time and are not guaranteed accurate or complete. Using this tool creates no client relationship with Considerate Capital, and the site that linked here is not affiliated with it. By using it you agree to the tool terms.