Do you have a large IRA or retirement plan account? If you do, you need special estate planning. Without special estate planning, unnecessary income taxes will be owed.
Retirement plans account for 34% of all household financial assets and are often a large part of a person’s nest egg. In fact, it is not unusual for a client to have their home and their retirement accounts and not much else!
The days where the main tax problems to be concerned about at death, was estate taxes are gone for most of us. With an exemption of over $10 million per person most people will leave their money estate tax free. However, the “new death tax” is planning for retirement accounts properly, to avoid excess payment of income taxes and to provide enhanced creditor protection.
Clients want to protect their IRA and retirement plan assets for their families, but most do not understand what can happen to those accounts after they die. And, unfortunately, much of the information owners and beneficiaries receive is outdated or incorrect.
Without proper planning, trillions of dollars in IRAs and qualified plans that are passed down to clients’ beneficiaries upon death could be exposed to the beneficiaries’ creditors and other beneficiary-associated risks. By using specially designed IRA trusts, your beneficiaries can be protected from creditors, predators, ex spouses …. and the right to cash these assets in any time they want causing a huge and unnecessary income tax hit whenever assets are withdrawn or cashed in.
1 of 4: IRA Trusts Blogs/emails will be published on July 24, 26, 31 and Aug 2.
These informative Blogs can also be found on our Blog page: https://florida-elderlaw.com/blog
In our next blog we will discuss how to keep Uncle Sam at bay.
Interested in a Seminar on IRA Trusts – Email me at alice@florida-elderlaw.com
Call our South Florida office at 954-726-6602 for additional information about IRA Trusts,
Estate Planning and any Long term care needs.
