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Financial Planning / Tax Strategies
|Subject: Re: IRA and divorce ?||Date: 6/12/2003 8:37 PM|
|Author: kentm401||Number: 65817 of 120415|
To "repeat" Donna's items...
Others have already recommended that your son also retain a lawyer. Especially, if the lawyer is recommending that the IRA be distributed and placing assets in a minor's name. Your son needs his own council.
Divorce proceedings allow for an IRA to be split/transferred between a husband and wife without 'distributing' the funds which would incur taxes and penalties. It requires a court order for the IRA administrator to process the change and it is not immediate. I am not aware of the rules concerning a child.
Look into the "benefits" (tongue firmly in check) of a QUADRO. Handled properly, on the IRA acct, could save folks a "bunch of tax $'s" from a "needless" early distribution.
Usual disclaimers apply....Not tax advice, not investment advice, not legal advice, etc etc.....;o)
KBM (been there done that)
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