Child is beneficiary of parent's Trad IRA. Parent was mid-70's at time of death, so RMDs were being taken. Child wants to move funds to an inherited (or "beneficial") IRA with another custodian. Since RMDs were being taken by Parent, RMD rules say:

"If distribution of the employee's interest had already begun under the RMD rules at the time of his death, then the remaining portion of his interest must be distributed at least as rapidly as under the distribution method being used as of the date of his death."

Does this mean that Child continues to use Parent's RMD for each subsequent year? e.g., Parent was 78 in 2006, so RMD factor of 20.3 was used; does child use factor of 19.5 for 79 year old in 2007 for the RMD she has to take from the inherited IRA?

I think Child could only use her own lifetime if Parent had been younger than 70.5?

If the child is the named beneficiary, then child can use own life, not parent's.

Thanks for the reply. My confusion is that the rule states it must be "at least as rapidly" if RMDs have already begun. The RMD for the older individual (Parent) is going to be larger than that of Child, so it seems that an RMD based on the Child would not be "at least as rapid". ???

See 1.401(a)(9)-5, A-5©(1).

That clears it up, thanks!!!