Roth IRA Minimum Distribution Rules: What You Need to Know

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If you’re saving for retirement or just trying to make the most of your retirement accounts, you might be wondering: Do Roth IRAs have RMDs? It’s a great question — and the answer is a big reason why so many people love Roth IRAs.

Here’s the short version: If you’re the original owner of a Roth IRA, you don’t have to take required minimum distributions (RMDs) at all. But that’s not the end of the story. RMDs can still come into play when someone inherits your Roth IRA.

In this guide, we’ll walk you through everything you need to know about Roth IRA minimum distribution rules, how they compare to other IRAs and how to plan smart for the future.

What’s a Roth IRA?

A Roth IRA is a retirement account you fund with money you’ve already paid taxes on. The best part? Your money grows tax-free, and when you take it out in retirement (as long as you meet the rules), those withdrawals are also tax-free.

Unlike traditional IRAs, you don’t get a tax break when you put money in, but you do get the freedom of tax-free income later.

Why You Should Care About Roth IRA RMD Rules

If you’re trying to make your retirement savings last as long as possible — or thinking about what happens to your accounts after you’re gone — knowing the Roth IRA minimum distribution rules can help you avoid penalties, reduce taxes and pass on more wealth to your loved ones.

Do Roth IRAs Have Required Minimum Distributions (RMDs)?

Let’s clear this up: No, Roth IRAs don’t have RMDs while the original account owner is alive. That’s one of the biggest perks of using a Roth IRA to save for retirement.

Roth IRAs and traditional IRAs are both investment vehicles for retirement.

Roth IRAs are investments made with after-tax dollars, and there is no immediate tax benefit. Traditional IRAs are investments that are made with pre-tax dollars and these investments reduce your taxable income.

Why There Are No RMDs

Because you’ve already paid taxes on the money you contribute, the IRS doesn’t require you to start withdrawing it at any age. That means your savings can keep growing tax-free for as long as you want.

Want to leave it all untouched until you pass it on? You can. Prefer to start withdrawals in your 70s or 80s? Totally your call.

What Happens When Someone Inherits Your Roth IRA?

That’s where RMDs come back into the picture. While you’re not required to take distributions from your Roth IRA during your lifetime, your heirs generally will be.

If Your Spouse Inherits the Roth IRA

A surviving spouse has a few options:

• They can treat it as their own: This means the account is now their Roth IRA, and there are no RMDs required.
• Or they can remain a beneficiary: This may trigger RMDs depending on their age and how the account is set up.

If Someone Else Inherits the Roth IRA

For non-spouse beneficiaries (like adult children, siblings, or friends), the rules are a bit stricter:

• The 10-Year Rule (thanks to the SECURE Act): Most non-spouse beneficiaries must withdraw the entire balance of the inherited Roth IRA within 10 years of the original owner’s death.
• No annual RMDs are required, but the account must be emptied within that 10-year window.

Is Inherited Roth IRA Money Tax-Free?

Usually, yes — if the original Roth IRA was open for at least five years. Qualified distributions are tax-free, even for beneficiaries.

Tax Implications of RMDs on Roth IRAs

The tax implications of RMDs on Roth IRAs are clear. Since you aren’t required to take a minimum distribution, your Roth IRA can grow tax-free. 

However, if you have an inherited Roth IRA, there are consequences of failing to take RMDs on inherited accounts. If you are over the age of 73 and do not take your required minimum distribution by the due date, you’ll be required to pay a penalty. Currently, the penalty is 25% of the amount that was supposed to be withdrawn. If you correct the error within two years, the penalty drops to 10%.

Smart Planning Moves for Roth IRA Owners

Maximize Tax-Free Growth

You can include planning strategies to maximize the benefits of your Roth IRA. Qualified withdrawals are not taxed, so you have the freedom, especially in retirement, to withdraw at any time without increasing your taxable income.

If you don’t need to withdraw from your Roth IRA even in retirement, that isn’t an issue either. Roth IRAs do not require an RMD, so you can grow the funds without any interruptions. 

Strategies To Ensure That Heirs Can Benefit Fully

You can take advantage of strategies that can ensure that heirs can maximize funds if they inherit a Roth IRA:

• Encourage heirs to let the Roth IRA continue to grow: Since spousal beneficiaries do not have to take RMDs, allow the fund to grow. The same approach can apply to non-spousal beneficiaries. Non-spousal beneficiaries do not have to withdraw the balance within 10 years of the owner’s passing. Let the fund grow until this time.  
• Educate beneficiaries: Sometimes, beneficiaries may not know the rules regarding RMDs. Set up a meeting with a financial advisor so they are aware of the rules.

Incorporate Roth IRAs into Estate Planning

You can use your Roth IRA to create a tax-free legacy for your estate. Your beneficiaries can withdraw funds without incurring income taxes, provided the account has met the five-year holding requirement.

The five-year holding requirement requires you to let the funds grow for a minimum period before you start withdrawing. For instance, if your first Roth IRA contribution occurred on February 1, 2020, the five-year period starts in January 2020.

Here’s how it impacts withdrawals: 

• If the Roth IRA owner passes away before January 1, 2025: The account has not met the five-year rule, so earnings withdrawn by the beneficiary may be subject to taxes. Your contributions can still be tax-free.
• If the Roth IRA owner passes away on or after January 1, 2025: The account has met the five-year rule, and all withdrawals are completely tax-free for the beneficiary.

Your beneficiaries also have the option to let the funds grow tax-free for up to 10 years before taking distribution. This allows maximum growth potential for your inherited Roth IRA.

How Do Roth IRAs Compare to Traditional IRAs?

Here’s a quick side-by-side:

Understanding the Key Advantages of Choosing a Roth IRA for Retirement Savings

Uncertain if you want to open a Roth IRA? Understanding the key advantages make up your mind about this investment vehicle. Here is how you would benefit:

• Growth potential: Your account will grow tax-free indefinitely since you aren’t required to take a required minimum distribution during your lifetime. 
• Estate planning tool: Since you’re not required to take an RMD on your Roth IRA, you can pass wealth down to your heirs. 
• Flexible withdrawal options: Withdrawing from your Roth IRA doesn’t typically incur penalties or taxes. 
• Tax-free: Since Roth IRA withdrawals are tax-free, it’s particularly beneficial during retirement. 

Final Thoughts to GO: Is a Roth IRA Right for You?

If you’re wondering about Roth IRA minimum distribution rules, the takeaway is pretty simple:

• You’re in control during your lifetime. No RMDs mean your money keeps growing until you need it.
• Heirs will face some rules. But they still benefit from tax-free income — just within a 10-year time frame.

Whether you’re nearing retirement or just getting started, Roth IRAs offer a lot of flexibility and long-term benefits. And if you’re planning to leave money to the next generation, it’s one of the most efficient ways to do it.

What to Do Next

• Make sure your Roth IRA beneficiaries are up to date.
• Talk to a financial planner about how Roth IRAs fit into your retirement and estate plans.
• Learn more with our complete guide to Roth IRAs or explore how to start one if you haven’t already.

Roth IRAs make it easier to grow your retirement savings tax-free, and understanding the rules now means fewer surprises later.

The information is accurate as of April 10, 2025.

Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.

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