Why should you be glad to have an inherited Roth IRA? Well for one, if the deceased person was your spouse and you have a Roth IRA account of your own, you can just roll the assets from the inherited Roth IRA into your own account and treat it as your without any other rules and regulations. Well that’s not entirely true. As you probably know, there are always exceptions and special cases like the 5 year rules. Just look it up, there is plenty of information on this available on the net. It’s just a bit convoluted and hard to grasp as no one seems to provide a clear concise chart of what to do in what situation. Still, an inherited Roth IRA is a very good and possibly tax free way to inherit money if you are the spouse and have such an account yourself. If you are planning for dire circumstances in the future it might even be a good idea to talk this through with your spouse now before it is too late.
Tags: inherited roth ira