Oct 08
The Pension Protection Act of 2006 was supposed to allow (read that as “require the employer”) a 401(k) beneficiary to roll the 401(k) account into an IRA as a beneficiary IRA. While this is still ‘permitted’ the rules do not mandate that the employer must allow this.
So, as part of your planning, and for sake of keeping your affairs in order. you should consider moving (rolling over) your 401(k) to an IRA upon a change in employers. There are certainly times where you might not want to do this. If you retire/quit from a company and are 55 or older, you have the opportunity to make withdrawals with no 10% penalty. At 54 or under, there are few reason now to make the move.
Joe
written by JOE
\\ tags: 401(k), beneficiary IRA, pension protection act, pension protection act of 2006
Apr 30
Now that you’ve Taken a Breath, and are ready to roll over an IRA you inherited, there are a few important things you must know. Enough that I’ve written my May feature article, “Inheriting or Bequeathing an IRA” which you can read a day early. I believe the article highlights the importance of properly setting up one’s IRA with named beneficiaries on the account as well as the proper method for those inheriting so as to minimize the tax hit. For a deeper discussion, I recommend the book, “Parlay Your IRA into a Family Fortune” by Ed Slott
Joe
written by JOE
\\ tags: beneficiary IRA, death, dying, Finance, inheritance, IRA, money, required minimum distribution, Retirement
