IRA Planning

THE CARDINAL GUIDE TO:
IRA Strategizing 

 Ed Slott, a CPA, has developed a reputation as “America’s IRA expert” (see IRAHELP.com). I have completed IRA-specific training with Ed beyond my Certified Financial Planner™ training, and we continually receive training in IRA planning. Don’t try IRA planning on your own. Seek an advisor and attorney who know what they’re doing with IRAs.

 Transfer IRA money from custodian to custodian. Don’t touch the money unless you want to risk paying taxes on it.

 Update your beneficiary forms regularly. IRA money goes straight to the named beneficiary after death, bypassing the will.

■ Required minimum distributions (RMD) must start after age 70½. In simple terms, you have grown, you have postponed taxes for years, and the government wants their money. Mistakes are costly and it is very hard to plead for mercy from the IRS. 

 Stockpiling money in an IRA and taking only the minimum distributions so you can leave it to your kids is not a smart estate planning strategy. There are ways to pay the taxes during your lifetime and leave tax-free money to your heirs.

 Long-term care implications for IRAs: This is the second place your caretakers usually go for money to pay the long-term care bill (after your Social Security check). IRA withdrawals are taxable as ordinary income, and the long-term care bill creates a corresponding tax deduction as a medical expense. But you need smart planning to optimize using your IRA for long-term care.

 For more information or help with your IRA, fill out the form below!

Useful Documents 

For quick instructions how to calculate your RMD, click the link below.  

Calculate Your RMD as Easy as 1,2,3

For a better understanding of the options available for an inherited IRA, click the link below.

Spousal IRA Beneficiary Decision Tree

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