Inherited IRA
Hi Terry. I was just listening to you on John’s show today (4/1/26) and missed most of what you said about that caller’s inherited IRA. I have one w/Fidelity (value around $17k) from my mom who passed in July, 2018. I’ve been taking RMDs but only about $700ish a year. I’m 68. Do I need to make sure I empty this IRA by 2028? If not, what are the tax, or other, implications? Is there anything else I need to know?
Thanks so much for your expertise!
Terry Says
Well, someone gave you bad advice. Since your mother died before 2019, your inherited IRA does not require RMDs until your own RMD age — 73. (And actually the RMD age changes to 75 in 2033 — so depending on your birthday, you may have even longer to make the money grow tax-deferred.
Check back with your custodian at Fidelity and remind them this is a pre-2019 inheritance. I dont’ know who told you to take an RMD but make sure they know the facts.
