- Do you know how an inherited IRA is taxed versus a regular IRA? What about if you’re a spouse who inherits an IRA versus children who inherit an IRA?
- Do you know what a “stretch” IRA is, and how to make sure it’s set up properly, so your children and grandchildren can continue to defer income taxes?
- If you inherit an IRA from one of your parents, can you roll it into your IRA?
- If you inherit a 401(k) from one of your parents, how is its tax treatment different than if you inherited an IRA from a parent?
- Did you know you can convert your IRA and/or your inherited IRA, both of which contain taxable money, into a tax-free account?
I could go on, but I think you get the idea – there’s a “right way” and a “wrong way” to set up IRAs, both as the current owner and as someone who inherits, or anticipates the inheritance of an IRA, to minimize income taxes.
You may not realize it, but your IRA beneficiary form is the single most important document in your estate plan. It trumps everything, regardless of what a will, trust, divorce decree or other documents might say.
If it’s been a year or more since you reviewed your IRA’s beneficiary form, it’s time to revisit the form now. There are 10 specific things that need to be checked on your IRA’s beneficiary form, and a beneficiary “check-up” will ensure that your beneficiary documents are up-to-date and will accomplish what you want with your IRAs and other retirement accounts.
If you’d like to schedule a complimentary “Beneficiary Form Check-up” and double-check the 10 specific things re: your IRA’s beneficiary form, please give me a call…
Tax laws continue to change, so if you’ve contributed to an IRA, a 401(k), or other qualified retirement plan, or if you’ve inherited or expect to inherit part or all of a qualified retirement plan, give me a call to schedule your complimentary "Beneficiary Form Check-up"...
Not seeking that advice could cost you or your heirs thousands of dollars!