No. of Recommendations: 0
I am one of three non-spousal beneficiaries on a small Ameriprise TIRA. The deceased owner had not yet taken her 2012 RMD.

All the beneficiaries are over 70-1/2.

The shares are less than $1,500.

This 2004 discussion suggests that a simple cash-out should be a possibility.

The Ameriprise rep seems to believe that the money must first be moved into inherited IRAs, at which point the beneficiaries can cash out. If retained too long, the account will be subject to a $40 annual maintenance fee. This is clearly uneconomical.

If the inherited IRA requirement is 'real' and all three beneficiaries close their inherited IRAs before the end of 2012, is the IRS requirement that they each take their share of the 2012 RMD moot?

Am I missing something else?


Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.