IRAs
Ed Slott & Company
www.IRAHelp.com
100 Merrick Road, Suite 200E
Rockville Centre, NY 11570
(877) 337-5688
Ed Slott and Company are America's IRA Experts!
Ed Slott and Company was named "The Best" sources for IRA advice by The Wall Street Journal and called "America's IRA Experts" by Mutual Funds Magazine. The company collaborated to create the nationally-aired Public Television Fundraising Specials, "Stay Rich Forever & Ever with Ed Slott" and "Stay Rich for Life! with Ed Slott." Ed Slott and Company also established the IRA Leadership Program™ and Ed Slott's Elite IRA Advisor Group™, which were developed specifically to help financial institutions and advisors, financial advisor firms, and insurance companies become recognized leaders in the IRA marketplace. Ed is the author of Your Complete Retirement Planning Road Map (Ballantine Books, 2007), Parlay Your IRA Into a Family Fortune (Viking, 2005), The Retirement Savings Time Bomb and How to Defuse It (Penguin, 2008), and Ed Slott's IRA Advisor, a monthly IRA newsletter.
The company's website is www.IRAHelp.com.
Beneficiary Issues For The Sandwich Generation
Those who are raising their children and also taking care of their parents are likely to have their own retirement plans, and to be the beneficiaries of their parent’s assets. Here is what they need to know about both sides of the equation.
Estate Planning: Stop Procrastinating
Because of the difficult decisions about matters most of us would rather not contemplate, many procrastinate when it comes to estate planning. But it’s worse to do nothing, leaving a mess for your heirs. Here’s why everyone needs to plan their estate.
Can You Borrow from Your IRA?
As the events of the recent “debt ceiling” issue have taught us, borrowing can be a dangerous game. But when it comes to IRAs, borrowing can be more than just dangerous: it can be a fatal error that can decimate a lifetime of savings.
Have You Prepared a Will?
it is critically important that you review your beneficiary forms often, and verify that your IRA custodian has the most current version of your beneficiary form on file. Either you can decide who gets your assets, or the government can.
Back To School
It’s that time of year again: the back to school season. For those more concerned with retirement than recess, that means it’s time to learn all you can about the latest rules for taxes and IRAs. Here are some of the best resources.
Recharacterization
Approaching as quickly as a Caribbean hurricane is October 17, 2011, the day of reckoning for undoing 2010 Roth conversions. Once this date passes, most who made 2010 conversions will be locked into them, as well as their accompanying tax bills.
IRAs: What About State Differences?
While the requirements for receiving a federal income tax deduction for an IRA contribution are the same no matter what state you live in, the tax treatment of IRA contributions at the state level can vary significantly.
A Mixed Bag
Social Security beneficiaries are receiving a cost of living adjustment in 2012...and while this may sound like a good thing, it’s actually a “mixed bag.” Medicare premiums will also rise, and these increases could equal the cost of living adjustment.
Ten Things You Probably Didn't Know About Retirement Plans
While many of the rules applicable to retirement plans are easy to remember, there are some important ones that are not always at the forefront of your thought process, and may impact your financial well-being. Part 1 of a 2-part series.
Ten Things You Probably Didn't Know About Retirement Plans
While many of the rules applicable to retirement plans are easy to remember, there are some important ones that are not always at the forefront of your thought process, and may impact your financial well-being. Part 2 of a 2-part series.
Stretching Your IRA
If you don't need all the funds currently in your IRA you might want to “stretch” them. This refers to the process of extending the term of your IRA over multiple lifetimes through the use of sound estate planning techniques.
Don't Get Hooked
Phishing is the act of sending an email or other notification to an individual falsely claiming to be an established, legitimate enterprise, in an attempt to collect private information that could be used for identity theft.
Save Twice With An IRA
One of the best ways to legally avoid current income taxes is by contributing to an employer-sponsored retirement plan. While it’s too late to make any contributions to 401(k)s and 403(b)s for last year, that’s not the case with IRAs.
Beat Those Banking Fees
ATM fees are doing damage to your paycheck, your daily financial picture, and your retirement savings. According to a study by the Pew Charitable Trusts, checking accounts at the 10 biggest U.S. banks had a median 49 fees in October 2010.
It’s That Time Again
Thanks to April 15 falling on a Sunday, coupled with a holiday the following day, the filing deadline is pushed back to April 17, 2012 for 2011 federal income tax returns. Here are five things you should address between now and then.
Leaving Your Current Job? You Have Retirement Plan Options
At some point in their lives, most workers will find themselves facing several options relating to retirement benefits when they leave an employer. They need to be as adequately informed as possible in order to make the best choices.
Leaving Your Current Job? You Have Retirement Plan Options (Part 2)
In Part 1 of this series, we covered three options individuals have for their retirement plan benefits when they leave an employer. Here are three more options, and some closing words of wisdom when considering which choice is best for you.
Working In Retirement
These days we are seeing many more retirees going back to work after their normal retirement date. With the present economy, many require more income to support their lifestyle, while others become bored and need a work-related discipline in their lives.
Do You Need A Will?
Almost anyone who has reached the age of majority owns some property. If you’re young, it could be little; if you’re older, it could be a lot. It doesn’t matter if you’re young, old, or in-between: if you own property, you need a will.
Social Security As A Cheap Annuity Option
Social Security may be one of the cheapest annuities available. But wait...you don’t “buy” your Social Security annuity payments, right? You’re simply entitled to receive them after meeting certain requirements. Nevertheless. (Part 1 of 2)
Social Security As A Cheap Annuity Option
Social Security may be one of the cheapest annuities available. But wait...you don’t “buy” your Social Security annuity payments, right? You’re simply entitled to receive them after meeting certain requirements. Nevertheless. (Part 2 of 2)
Divorced? Update Your Retirement Plan Beneficiaries
We’ve all heard that half the marriages in the United States end in divorce. Many times after a divorce, the IRA owner forgets to change the beneficiary. In most cases, courts have ruled that the ex-spouse is entitled to the funds despite the divorce.
What Happens When The Estate Inherits An IRA?
What options do you have when the estate inherits the IRA? If someone tells you it must be cashed out, don’t fall for it. Occasionally, there may be no other option, but don’t just take their word for it—be sure what the IRA agreement says.
Leaving Retirement Money To Stepchildren
Many of you have stepchildren. It’s perfectly fine to name stepchildren as the beneficiary of your retirement funds. However, care must be taken when naming them beneficiaries. Oftentimes, you need a spouse's consent.
Tax Relief for Hurricane Sandy Victims
Hurricane Sandy did considerable damage in the Northeast part of the United States. As a result, the IRS issued several news releases describing the postponement of IRA and other retirement plan deadlines for victims affected by Hurricane Sandy.
Using The Internet As Your Financial Planner
There’s a lot of great information available on the Internet. There’s also a lot of misinformation. Some advice is misleading, and some is just plain wrong. The Internet is no substitute for expert financial and retirement planning advice.
IRAs and Minors as Beneficiaries
Is including your grandchildren (or other minors) in your estate a potential part of your planning? If so, you’ll need to carefully evaluate your options when it comes to IRAs. Read on to find out two of the best options currently available.
Converting Inherited Assets to a Roth IRA
You are a non-spouse beneficiary and you've inherited an IRA or employer plan assets. Can you convert those assets to a Roth IRA? The answer is yes and no.
Gain Control of Your 401(k)
If you are age 59 ½ and still working you may have an option of taking money out of your 401(k) plan without penalty and income tax and put it into an IRA rollover.
Inheriting an IRA from a Spouse
You've inherited an IRA from your spouse. What do you do now? Should you leave it as an inherited IRA or should you move it into an IRA in your own name?
The Use of Life Insurance to Protect IRA Assets
Life insurance may perhaps be not only the single biggest benefit in the tax code, but also the most cost-effective way to protect a large IRA. If set up correctly, life insurance proceeds could come into the estate sans estate and income tax.
Fighting Age with an IRA
Every now and then, a situation comes along that allows a taxpayer to benefit from an obscure, little known tax provision. Such was the case of "Archie" when he inherited his nephew's IRA.
Tax Rates and IRA Conversions
When making a tax decision on converting a traditional IRA to a Roth IRA you should consider your personal income tax situation: will your tax rate be the same, lower or higher in the future?
To roll or not to roll?
That's the question facing retirees. Should they keep their savings in a company retirement plan, move the cash into an IRA, or take the money and run? Each choice has significant implications for taxes, estate planning and investment growth.
Converting to a Roth IRA?
Like any other major financial decision, the question of whether to convert to a Roth IRA needs to be measured carefully and with all the facts. Only then can the best course of action be identified and implemented.
Is Your IRA Safe in Bankruptcy?
Under federal bankruptcy law, all IRAs have a $1,000,000 exemption. In addition, funds from employer plans are 100% exempted, even if they were rolled over to an IRA. So, your IRA funds should be exempt, right? The answer is a definite maybe.
Don’t Cash Out IRAs to Pay Off Mortgages
Having to add an IRA withdrawal to your other income might push you into a higher income tax bracket. In some cases, a sufficiently large enough IRA withdrawal could result in full or partial loss of your home mortgage interest deduction.
Taking Social Security Benefits
The combination of guaranteed benefits for life, cost of living adjustments, and spousal coverage makes Social Security one of the most valuable sources of retirement income.
Making the Most of Your Retirement Savings
If you want to have a comfortable retirement you are going to have to be a disciplined saver and make good investment choices. The ideal investment strategy for retirement accounts is to find great performers and milk them for everything they are worth.
Roth IRA Losses
If you have lost money in your Roth IRA, you are not alone. If your Roth IRA loses money shortly after you converted from a traditional IRA, your best choice may be to undo the conversion.
Raiding the Nest?
Retirement nest eggs exist to help insure a comfortable financial retirement for their owners. Taking early withdrawals may put that in jeopardy. If you find yourself in this predicament, seek assistance from a qualified retirement plan advisor.
Preventing Financial Abuse of the Elderly
As the economy worsens, instances of elder financial abuse are likely to rise. The elderly are particularly vulnerable to scams and financial abuse by friends, acquaintances, caregivers and family members in need of money.
Why We Don't Save For Retirement
There are many guesses to why people don’t save for retirement. (Hint: you need to!) If you or your financial advisor are spouting about any of these myths, you need to change your tune and proactively save for your future.
Tax Laws to be Thankful For
Hopefully, there is much in your life to give thanks for this year, but if you’re searching for a few additional reasons to be thankful, here are 5 favorable tax provisions you should be thankful for now...because they might not be around much longer.
IRA Investments: Caveat Emptor
Many of us are often solicited for strategies involving alternate investments for IRAs. You should have your antenna up when being solicited and when the solicitor states that the investment is either “IRS Approved” or endorsed by the IRS.
Insurance and Retirement
Once you’re retired, your need for insurance changes. It is a good idea to look at your coverage options and figure out what you need and don’t need, and where you might be able to achieve some savings.
Boomer Inheritances on the Rise
It is estimated that Baby Boomers stand to inherit a total of $8.4 trillion from the previous generation. Undoubtedly, many traditional and Roth IRAs will be included. Here are some important points to keep in mind when inheriting an IRA.
DIY? Not With Your Future
While the media has done a good job of simplifying investing, some magazines and TV shows have oversimplified retirement planning. It’s a highly complex process that requires in-depth knowledge and impartiality—and do-it-yourselfers often get in trouble.
Last-Minute Tax Savings
In general, there aren’t too many things you can do after a year is over that affect your taxes for a previous year, but thankfully, one of those things is a traditional IRA contribution. We’ll tell you whether or not you qualify.
Leaving A Legacy
Many individuals name their spouse as beneficiary of their IRA when in fact the spouse may not need that money to live on. In these cases IRA owners should consider naming their children or grandchildren as their IRA beneficiaries.
A Cautionary Tale
A real-life case that came to our attention dramatically reinforces what we have been professing for more than a decade: Having a financial advisor who is expertly trained in the rules applicable to IRAs can be one of your most important investments.
