RMD for deceased owner's spouse

[Renee H]

This is a profit sharing plan with spouse owners only.  Both are subject to the RMD.  Husband died January 2026. Wife is the primary beneficiary.  The Plan requires the RMD in year of death be based on the deceased date of birth and the beneficiary's DOB in the following years.

Does the wife have the option of waiving the 2026 RMD without penalty?  If she is eligible to waive, will she be subject to both 2026 and 2027 in 2027?

Due to the non-liquid nature of plan investments, I do not believe she will be able to roll the husbands benefit to an IRA at this time.

Thank for your help.

 

[Madison71]

Good morning. 

Husband is due an RMD in 2026 because he had reached RMD age.  Since he died before receiving his RMD for 2026, it is required to be distributed to his beneficiary (his wife as the sole spouse beneficiary) on or before December 31, 2026.  

Wife does not have the option to waive Husband's 2026 RMD.  Wife will be required to begin receiving RMDs based on her DOB in 2027 (wife will need to elect ULT treatment if plan has not been amended to use the ULT as the default under the plan). 

I recommend checking language in the plan document. 

[Renee H]

Thank you for clarifying.