UnThreaded | Threaded | Whole Thread (11) | Ignore Thread Prev | Next
Author: WPatch Three stars, 500 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75340  
Subject: Re: One IRA or 2? Date: 7/7/2002 7:12 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Hello, Redhed,

However, for purposes of estate planning, an individual IRA account for each heir (with identical holdings in each, if you wish to equally divide your estate between the heirs) is recommended. This will allow your heirs to take their distributions at a rate calculated according to their own age, rather than the age of the oldest heir (should one IRA be divided among them).

One account per heir is one option, but unnecessary for the purpose suggested. It is only necessary to divide the IRA after death byu September 30 of the year after death for each heir to calculate their inheritance distributions according to their own age.

The tax code does provide a major advantage if the IRA with a spousal beneficiary is separate from the other beneficiaries. The spouse can then take the IRA as her own IRA, and option not available if she inherits it with others.

Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (11) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
Post of the Day:
Value Hounds

Medallion Financial: TAXI!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement