What are the tax implications of an inheriting an IRA?The answer depends on several factors:Is it a traditional IRA or a Roth IRA? The funds in a traditional IRA have never been taxed and will be taxed as they are withdrawn. Roth IRAs contain post-tax dollars and are not again taxed upon their withdrawal. Is the beneficiary of the IRA a spouse, a non-spouse person, or a charity?When the beneficiary of an IRA is the spouse of the IRA owner, the spouse will have a number of … [Read more...]
Is an Inherited IRA Taxable to the Beneficiary?
The popularity of self-funded retirement accounts, such as a 401(k) or an individual retirement account (IRA), has increased dramatically over the last several decades as more and more companies do away with employer-sponsored retirement and pension plans. Given how common it now is for an IRA to be part of a retirement plan, inheriting an IRA has also become fairly common. If you recently learned that you are the beneficiary of an IRA, or you are contemplating the wisdom of including an IRA in … [Read more...]
Probate Avoidance Made Easy (part 2 of 2)
Probate can be an extremely costly, lengthy, and public process. Many people take the time to carefully plan their estate in order to avoid probate.If you’re looking to avoid probate, you will need to utilize the right techniques. Take a look at some more great ways to avoid probate. If you have any questions or if you’re ready to discuss your probate avoidance needs, meet with an experienced, qualified estate planning attorney.Gift during your lifetime. If you’re able and willing … [Read more...]
What You Need to Know about Social Security Retirement Benefits
You have probably listened to well-meaning family members tell you that it is never too early to start planning for your retirement. It is also never too early to start learning more about your Social Security retirement benefits. Doing so ensures that you have a good idea what your benefit amount will be and helps you decide when to start collecting those benefits. The Sacramento elder law lawyers at Northern California Center for Estate Planning & Elder Law explain some basics about Social … [Read more...]
13 Disturbing Estate Planning Problems
Each of these 13 disturbing estate planning facts is true; but, each situation can be avoided with a strong, individualized, comprehensive, and up-to-date estate plan.If you don’t name a guardian in your will, your minor children could end up with persons you either don't like or don't know. If you don’t provide for your pet in your estate plan, your pet may be euthanized when you die. If you put assets in joint tenancy with a second spouse, your children may be disinherited. If … [Read more...]
The importance of reviewing your IRA Beneficiary Designations
Whether you realize it or not, you have a beneficiary designation on your IRAs (i.e. individual retirement accounts.) It would be prudent for you to check the beneficiary designations to ensure that they are in line with your current intent, goals, and estate planning documents.Stretch out goalsIRAs make great inheritances for children and grandchildren who, with proper planning, can stretch the IRA distributions out over their life expectancy. The tax deferred growth is amazing and … [Read more...]
Retirement Planning: The Roth IRA
A Roth IRA is an individual retirement account; it’s called “Roth” because that’s the name of the Congressman who introduced the legislation, creating this type of retirement account. Retirement accounts have tax advantages to create an incentive for you to plan for your retirement and not depend upon public assistance in the future. Though you need to consult with professional advisors and get good advice, customized to your individual situation, the Roth is an incredible retirement planning … [Read more...]
Sacramento Retirement Planning and the Roth IRA
If you are considering Sacramento retirement planning, it is not too late to start. The truth is, you may not be able to safely rely on your Social Security benefits. Instead, you should be proactive and create your comprehensive retirement plan now. That way, you can relax and enjoy your retirement the way you always hoped you would. One easy way to get started is by opening Individual Retirement Accounts which can help you start saving and investing in your future. One valuable type of IRA … [Read more...]
Orangevale Couple Celebrates Their 50th Anniversary
Reaching a significant milestone, Orangevale couple Jim and Judy Shephorn have been married for 50 years. Equally impressive, the Shephorns drove to Reno to renew their vows in the same care they drove to get married 50 years ago – a 1965 Chevy Impala. This incredible achievement should remind us all of the importance of early retirement planning. Great advice from father to son Jim Shephorn said in an interview that his father gave him great advice when he was young. Jim said, “My dad told me … [Read more...]
Sacramento County Retirees Can Benefit from Retirement Planning
Retirement is meant to be relaxing, but the thought of retirement for some may instead be stressful. A common concern many clients have is whether they will have sufficient income or savings to be able to have a comfortable retirement. Clients often wonder when they need to start saving and what is the best strategy. The Sacramento County Retired Employees Association The Sacramento County Retired Employees Association, or SCREA, was created for the purpose of promoting the welfare of its … [Read more...]
