By Harry Prabandham · Updated September 27, 2026
Retirement Planning
Inherited IRAs & the SECURE Act 10-Year Rule
Most non-spouse heirs must empty an inherited IRA by the end of the 10th year after death, with annual RMDs if the owner had started RMDs.
Inherited IRAs & the SECURE Act 10-Year Rule
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The short answer
- For owners who died in 2020 or later, most non-spouse beneficiaries must empty an inherited IRA by December 31 of the 10th year after death.
- If the owner had already reached their required beginning date, the beneficiary must also take annual RMDs in years one through nine.
- Surviving spouses and a few other eligible designated beneficiaries can still stretch withdrawals over their life expectancy.
- Pre-tax inherited IRA withdrawals are ordinary income to the beneficiary, so timing affects the total tax.
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Full Guide
The short answer
- For owners who died in 2020 or later, most non-spouse beneficiaries must empty an inherited IRA by December 31 of the 10th year after death.
- If the owner had already reached their required beginning date, the beneficiary must also take annual RMDs in years one through nine.
- Surviving spouses and a few other eligible designated beneficiaries can still stretch withdrawals over their life expectancy.
- Pre-tax inherited IRA withdrawals are ordinary income to the beneficiary, so timing affects the total tax.
Who can still stretch an inherited IRA?
- Eligible designated beneficiaries are the surviving spouse, a minor child of the owner, and disabled or chronically ill individuals.
- Beneficiaries not more than 10 years younger than the owner, such as many siblings, also qualify.
- A minor child of the owner can stretch until age 21, then the 10-year clock starts.
- Non-person beneficiaries, like an estate, face different and often shorter payout rules.
When are annual RMDs required inside the 10 years?
- Final IRS regulations say annual RMDs apply when the owner died on or after their required beginning date.
- The IRS waived penalties for missed annual inherited RMDs in 2021 through 2024; required annual withdrawals apply from 2025 on.
- If the owner died before the required beginning date, there are no annual RMDs, only the 10-year deadline.
- The required beginning date is April 1 after the year the owner turned 73, or 75 for those born in 1960 or later.
How are inherited Roth IRAs treated?
- Inherited Roth IRAs are also subject to the 10-year rule for most non-spouse beneficiaries.
- Roth owners never have a required beginning date, so there are no annual RMDs within the 10 years.
- Withdrawals are generally tax-free if the original owner's Roth had been open at least five years.
- Some beneficiaries leave the Roth invested until late in the window, accepting market risk in exchange for more tax-free time.
What options does a surviving spouse have?
- A spouse can treat the IRA as their own, remain a beneficiary, or, since 2024, elect to be treated as the deceased spouse for RMDs.
- Treating it as your own is simple but applies the 10% penalty on withdrawals before 59½.
- Remaining a beneficiary allows penalty-free withdrawals at any age, which can help a younger spouse.
- The right choice depends on the spouse's age, cash needs, and the deceased spouse's age.
Planning withdrawals across the window
- Spreading withdrawals across the window can avoid stacking a large balance into one high-bracket year.
- Lower-income years, such as a sabbatical or early retirement, may leave room for larger withdrawals at lower rates.
- Withdrawals raise AGI, which can affect IRMAA, ACA subsidies, and phase-outs like the 2026 SALT cap.
- Missing a required distribution triggers a 25% excise tax, reduced to 10% if corrected promptly.
Key takeaways
- Identify your beneficiary category first; it sets whether the 10-year rule or a lifetime stretch applies.
- Check whether the owner had started RMDs, because that decides whether annual withdrawals are required.
- Plan the withdrawal pattern across all 10 years with your other income in view.
- Rubric Advisors does not prepare tax returns; confirm RMD calculations with a CPA or the IRA custodian.
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