No. of Recommendations: 0
<The downside I could see ... $2,000 isn't a lot to give away -- relatively
speaking since we're talking about ways to reduce estate taxes. Junior also
has to make $2,000+ in a year for someone to contribute $2000 to a Roth
IRA in his name.>

I think the suggestion is not that it would be Junior's IRA, but Grandma's. Junior would be listed as beneficiary, would inherit at Grandma's death, and would have such a long life expectancy that the money would grow despite the fact that he would be gradually drawing it out at the minimum rate allowed.

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