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Inherited IRA Calculator

Calculate your required distributions from an inherited IRA. See which rule applies (10-year, stretch, or 5-year), get a year-by-year RMD schedule, and find the optimal withdrawal strategy to minimize taxes.

$
Current balance of the inherited IRA
RBD = age 73 (deaths 2023-2032), age 75 (2033+)
$
W-2, self-employment, other retirement income

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How to Use This Calculator

My Required Distributions tab

The default tab. Enter your inherited IRA balance, your age, the original owner's age at death, your relationship to the deceased, and the account type (Traditional or Roth). The calculator determines which distribution rule applies — 10-year rule, stretch, or 5-year — and builds a year-by-year RMD schedule with tax impact estimates.

Optimal Withdrawal Strategy tab

If you're subject to the 10-year rule, this tab helps you minimize total tax. Compare even distribution, front-loading (take more in low-income years), back-loading (defer to later), and bracket surfing (fill up to a target bracket each year). The calculator finds the strategy that saves you the most.

Eligible Designated Beneficiary tab

If you qualify as an EDB — surviving spouse, minor child, disabled, chronically ill, or not more than 10 years younger — you can stretch distributions over your life expectancy. This tab shows your annual RMD schedule, spouse-specific options (rollover, treat as own), and minor child timing.

Rules Decision Tree

1. Is the beneficiary an Eligible Designated Beneficiary (EDB)?
  → Yes → Stretch over life expectancy
  → No → Go to step 2

2. Is the beneficiary a designated beneficiary (named individual)?
  → Yes → 10-year rule (must empty by Dec 31 of year 10)
    • If owner died after RBD: annual RMDs required in years 1-9
    • If owner died before RBD: no annual RMDs, just empty by year 10
  → No (estate, charity, non-designated) → 5-year rule or life expectancy of deceased

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The Formula

Required Minimum Distributions from inherited IRAs use the IRS Single Life Expectancy Table:

RMD = Account Balance ÷ Life Expectancy Factor

Year 1: Factor = Table I lookup for your age
Year 2: Factor = Year 1 factor − 1
Year 3: Factor = Year 1 factor − 2
... and so on, reducing by 1 each year

The account balance used is the December 31 balance of the prior year. For the first year, use the balance as of the date of death (or Dec 31 of the year of death if you prefer to be conservative).

For the 10-year rule, there is no formula per se — you simply must withdraw the entire balance by December 31 of the 10th year after death. If the owner died after their RBD, you must also take annual RMDs in years 1–9 using the life expectancy method above.

Example

David — Software Engineer, 45, Austin TX

David inherited a $500,000 Traditional IRA from his father who died at age 78 in 2025. David is a non-spouse, non-eligible designated beneficiary. His father died after RBD (age 78 > 73). David earns $75,000/year, files single.

My Required Distributions tab

Rule10-year rule with annual RMDs
Year 1 RMD (factor 38.8)$12,887
Year 5 RMD$13,899
Year 10 (remainder)$367,442
Estimated total tax$89,211

David faces a large tax hit in year 10 when the remainder must be withdrawn. The Optimal Withdrawal Strategy tab can help him spread the tax burden more evenly.

Optimal Withdrawal Strategy tab

Even distribution tax$72,150
Bracket surfing (fill to 22%)$30,700/year
Tax savings vs default$17,061

By proactively withdrawing to fill up to the 22% bracket each year, David saves over $17,000 in total tax compared to the default schedule.

IRS Single Life Expectancy Table (Table I) — Excerpt

Used for inherited IRA RMD calculations. Full table in IRS Publication 590-B.

Age 2558.2
Age 3053.3
Age 3548.5
Age 4043.6
Age 4538.8
Age 5034.2
Age 5529.6
Age 6025.2
Age 6521.0
Age 7017.0
Age 7513.4
Age 8010.2
Age 857.6
Age 905.3

FAQ

Under the SECURE Act (2019) and SECURE 2.0 (2022), most non-spouse beneficiaries who inherit an IRA must withdraw the entire balance within 10 years of the owner’s death. If the original owner died after their Required Beginning Date (RBD), annual RMDs are also required during years 1–9. The account must be fully emptied by December 31 of the 10th year.
Five categories qualify as EDBs under SECURE Act 2.0: (1) surviving spouse, (2) minor child of the decedent (under age 21), (3) disabled individual (IRC §72(m)(7)), (4) chronically ill individual, and (5) any beneficiary not more than 10 years younger than the deceased. EDBs can use the stretch method — taking RMDs over their own life expectancy — instead of the 10-year rule.
An inherited Roth IRA is still subject to the 10-year rule (you must empty it within 10 years), but no annual RMDs are required during that period. All distributions are tax-free since the original contributions were made with after-tax dollars. This gives you maximum flexibility to time your withdrawals.
Missing an RMD triggers a 25% excise tax on the amount that should have been withdrawn (reduced from the previous 50% penalty by SECURE 2.0). If you correct the mistake within 2 years by taking the missed distribution, the penalty drops to 10%. File Form 5329 with your tax return and consider requesting a waiver using the IRS reasonable cause exception.
Yes. A surviving spouse has three options: (1) treat the inherited IRA as their own (no RMDs until they turn 73/75), (2) roll it into their own IRA (same effect), or (3) keep it as an inherited IRA (useful if under 59½ to avoid early withdrawal penalties). Treating as own or rolling over is usually best if you’re over 59½ and don’t need the money immediately.

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