fb-rmd-0006
{
"account_type": "inherited traditional IRA (non-spouse eligible designated beneficiary taking annual life-expectancy distributions)",
"prior_year_end_balance": 400000,
"beneficiary_age_first_distribution_year": 55,
"years_since_first_distribution_year": 0,
"note": "This is the beneficiary's first distribution calendar year (the calendar year following the year of the owner's death). The beneficiary attains age 55 in this year. The life-expectancy rule applies; the applicable denominator is the beneficiary's remaining life expectancy under the Single Life Table."
}Compute the beneficiary's required minimum distribution for this first distribution calendar year, in dollars. Respond with the numeric amount only.
12658.23 USD (tolerance ±1)
Produced by compute rmd.single-life-inherited in src/lib/fiduciarybench/keys/index.ts — the stored value is machine-checked against the compute on every build; it cannot drift from its own code.
The RMD equals the prior year-end balance divided by the Single Life Table entry for age 55, within $1.
“determined initially using the beneficiary's age as of the beneficiary's birthday in the calendar year following the calendar year of the employee's death”
“the Single Life Table, sets forth the life expectancy of an individual at each age”
Each quoted passage is exact-matched, after typographic normalization, against the corpus text fetched from the issuing authority (hashes in the corpus manifest). An item whose quote stops matching fails the build.
“equal to the quotient obtained by dividing the account balance (determined under paragraph (b) of this section) by the applicable denominator” — cfr-1-401a9-5
The required minimum distribution is calculated by dividing the prior year-end account balance ($400,000) by the applicable denominator. Under the Single Life Table in § 1.401(a)(9)-9(b), the life expectancy for a beneficiary at age 55 is 31.6. Dividing $400,000 by 31.6 yields $12,658.2278..., which rounds to $12,658.23. The key is correct.
“determined initially using the beneficiary's age as of the beneficiary's birthday in the calendar year following the calendar year of the employee's death” — cfr-1-401a9-5
For a non-spouse designated beneficiary under the life expectancy rule, the initial denominator is the beneficiary's Single Life Table life expectancy at age in the year after death. The beneficiary attains age 55 in the first distribution year, so the Single Life Table denominator is 31.6. Dividing the prior-year-end account balance of $400,000 by 31.6 gives $12,658.2278, which rounds to $12,658.23. Thus the key is correct.
v1; no errata. Demonstrate a key error and the correction is published here, credited — challenge policy.