How Do Spouse Inherited IRA's Work?

by | Aug 2, 2022 | Spousal IRA | 3 comments

How Do Spouse Inherited IRA's Work?




If your spouse passed away and they had a retirement account or an IRA, you will have to make a decision of whether to take a cash distribution, setup an Inherited IRA, or rollover the balance to your own IRA. It very important to understand all of your options otherwise you could face tax consequences and the 10% ealry withdrawal penalty on distributions….(read more)


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3 Comments

  1. K Ng

    I am 82. We had a Trust, and it was set up as the beneficiary of my IRA and my wife's. She passed away last year in November 2021. The value of her IRA was around $9,500.000.00. My brokerage firm told me that I had to fill out the IRA Distribution Request form to distribute the whole account as a Beneficiary IRA.
    Would that be considered as my regular income in 2021? I would be in a very high tax bracket!
    I would appreciate it very much if you would advise me as to my options?

  2. Glamma V

    If a spouses 66 years old, and inherits an IRA from his or her spouse, who is 80, if he or he rolls-over the inherited IRA to her own , will he or she get taxed by the IRS ? Thanks!

  3. Captinprivate

    Awesome.. You did a great job on the info I needed!

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