This overview is educational only. It is not tax advice or individualized distribution instructions. The IRS beneficiary guidance is the current source for the rule descriptions below: https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-beneficiary (reviewed September 21, 2026).
What the ten-year rule means
For a beneficiary subject to the ten-year rule, the IRS says the inherited account generally must be fully distributed by December 31 of the tenth year following the year of the owner’s death. That deadline does not by itself answer whether a distribution is due in each intervening year. The original owner’s required beginning date and the beneficiary’s classification can matter.
The inherited account’s tax treatment can also affect the decision. Taxable distributions from a traditional IRA are generally included in income. Inherited Roth IRAs generally follow the same RMD framework, while the tax treatment of Roth earnings can depend on the account’s five-year holding period. The IRS guidance above explains these distinctions.
Who may have different options
The rules distinguish between eligible designated beneficiaries and other designated beneficiaries. The IRS identifies eligible designated beneficiaries as:
- A surviving spouse.
- A minor child of the account owner.
- A beneficiary who is disabled or chronically ill.
- An individual who is not more than ten years younger than the account owner.
Those categories can have options that differ from the standard ten-year treatment. A surviving spouse may also have options that are not available to other beneficiaries. The account agreement and the facts of the inheritance can affect the result, so it is important to confirm the applicable rule before requesting a distribution.
Questions to check before using an estimate
A calculator can help organize the inputs, but it cannot determine which distribution rule applies to a particular inheritance. Before relying on an estimate, confirm:
- Whether the account is a traditional IRA or a Roth IRA.
- The owner’s year and date of death.
- Whether the owner had reached the required beginning date.
- The beneficiary’s relationship to the owner and whether an eligible designated beneficiary category may apply.
- The account custodian’s distribution options and records.
The page’s Beneficiary RMD Calculator is a useful starting point for a planning estimate. The result should be reviewed with the account custodian and qualified tax or legal professionals before a distribution is taken.
Why timing can still matter
Even when a beneficiary has flexibility about the timing of distributions, a withdrawal may affect taxable income, eligibility thresholds, or other parts of a financial plan. For a traditional inherited IRA, the size and timing of taxable distributions can matter. For an inherited Roth IRA, the tax treatment may depend on the five-year holding-period rules. Individual circumstances and current tax rules can change the analysis.
The goal is not to force a single schedule. It is to identify the rule that applies, understand the available window, and coordinate any decision with the broader tax and estate plan.
Source: Internal Revenue Service, “Retirement topics: Beneficiary,” https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-beneficiary, reviewed September 21, 2026.
This article is general information, not individualized investment, tax, or legal advice, and it does not account for your circumstances. Tax rules referenced are those in effect at the date shown and change over time. Consult a qualified professional before acting.