Your IRA will be distributed to your designated beneficiary.
If you have designated a beneficiary, then distributions must begin starting at least one year from the date of your death. Annual distributions must be made in an amount not less than the IRA account balance multiplied by a fraction with one as the numerator and your beneficiary's life expectancy as the denominator.
If you have not designated a beneficiary, distributions must be completed within five years. If your primary beneficiary is your spouse, he/she is given the added option of either assuming your IRA or rolling it over to an IRA in his/her name.
The amount in your IRA when you die may be subject to estate tax if your estate, including the remaining amount in the IRA, is significant. If you believe that your estate may be that significant, you should consult your tax advisor.
Have questions related to Wealth Management?
Contact the Consolidated Community Wealth Management team. CCCU members receive a complimentary consultation from an experienced, trusted financial advisor.