Broker Check
Passing On Your IRA Money Tax Free

Passing On Your IRA Money Tax Free

| September 23, 2020
Jim Griffith
Inherited Retirement Account Distributions Must Be Taken Within 10 Years
THE SETTING EVERY Community Up for Retirement Enhancement (SECURE) Act was signed by President Donald Trump in December 2019 and became a law as of Jan. 1, 2020. The new legislation brings changes for long-term retirement savings and affects Americans at every age.
Before the new law was in place, those who inherited IRAs could stretch out the withdrawals and required tax payments on each distribution over their life expectancy.
Now, for retirement account owners who pass away after Jan. 1, 2020, beneficiaries may be required to withdraw assets in an inherited IRA or 401(k) within 10 years. However, there are a variety of exceptions to the new 10-year rule, including a surviving spouse, minor children, disabled and chronically ill beneficiaries and beneficiaries who are up to 10 years younger than the IRA owner. If you were considering a stretch IRA, it may be worth revisiting your situation under the SECURE Act.
If you have accumulated a substantial sum in your tax deferred retirement account, and you want to leave that money to your family without losing up to 50% in taxes, to learn how you can convert any IRA, 401k or 403b account into a tax free bequest or inheritance. For more information call 800-361-6542,Text GFS1 To 36260 or email me at jgriffith@gfsersllc.com.
I'm looking forward to our chat.