IRA 10-year Rule

In this episode, Chris Berry answers: When does the 10-year IRS period start for inherited IRAs?

Estate Attorney and Advisor Chris Berry of Castle Wealth Group answers questions on retirement and estate planning every Wednesday at 1pm. Register via this link or give our office a call at 844-885-4200.

Castle Wealth Group and Christopher Berry help families with estate planning, elder law, retirement planning, and tax planning from their offices in Brighton, Ann Arbor, Livonia, Bloomfield Hills, and Novi.

Castle Wealth Group helps families with their legal, financial, and tax planning for their retirement and legacy.

With the use of legal structures like revocable living trusts, Castle Trusts (asset protection trusts), Chris Berry and Castle Wealth Group can help your family plan, protect, and preserve what is important through their Retirement and Legacy Blueprint Process.

For more info visit:

When does a 10-year irs period start for inherited IRAs? Welcome to Berry’s bites, please join our host attorney and financial advisor Chris Berry. So we’re talking about iras and iras are what we call qualified accounts meaning there’s some type of tax qualification to them and you have to be the owner of your IRA okay a trust cannot be the owner you have to be the owner of your IRA and then what happens and this is due to the secure act which passed in 2020 is that at age 72 that year you have to start taking out required minimum distributions RMDs it’s roughly about 3.6 of the account value and it goes up every year and then when you pass away so upon death.

If you leave it to anyone basically other than a spouse then what happens is there’s this 10-year rule where all the taxes have to be paid within 10 years so if if you’re sitting here and you have your IRA and then god forbid you pass away now you’re leaving it to kids they each get that ira and then they have to pay the taxes within 10 years so that’s like a million dollars each kid gets 500 000 they can stretch it out up to 10 years but they have to pay the tax on that within 10 years so the 10-year rule with regards to IRAs are triggered upon death. Thank you

Castle Wealth Group Legal in Media

Send Us a Message