I inherited an IRA. Is it possible to take distributions from it and plan to perform a backdoor Roth
Here’s a summary of the main problem reported and the solutions discussed:
- Main Problem: The user, Regorian, is uncertain whether distributions from an inherited IRA can be used to fund their own Traditional or Roth IRA, as they are a non-eligible designated beneficiary required to deplete the inherited account within 10 years.
- Solution: FidelityLinsey advised Regorian to contact the Retirement Team for personalized assistance, as rules vary based on individual circumstances.
- Additional Resource: A link to a page about withdrawing from an inherited IRA was provided to help Regorian learn more about the process.
Regorian expressed appreciation for the guidance and intends to call the Retirement Team for further clarification.
Here’s the full thread
Hello – I have recently received an inherited IRA from a family member. I am considered a non-eligible designated beneficiary and must deplete the account within 10 years, and am not subject to RMDs. My current plan is to take a distribution this year to pay down some debt, and let the remaining funds ride in the market a bit. For my future distributions, I would like to use it to fund a backdoor Roth conversion, however I have seen some sources online state that distributions from an inherited IRA cannot be used toward my own IRA. Is this true, or can I use these distributions to fund my Traditional/Roth IRA and perhaps my brokerage account as well?
Hi there, @Regorian.
As there are many rules dependent on your unique situation when it comes to inherited IRAS, please give our Retirements Team a call for assistance. This team is available Monday through Friday, 8:00 a.m. to 8:30 p.m. ET, and can be contacted through the link below.
Contact Us: https://www.fidelity.com/customer-service/contact-us
In the meantime, I’ve included a page from our website below about withdrawing from an inherited IRA to help you learn more.
Withdrawing from an inherited IRA: https://www.fidelity.com/building-savings/learn-about-iras/inherited-ira-rmd 🟢
@FidelityLinsey I’ll give them a call. Thank you!
On behalf of @FidelityLinsey you are very welcome! Please reach out whenever you need us. We’re happy to help. 🟢