Timothy Sumer

The passing of the 2019 Secure Act changed the rules about when non-spouse beneficiaries must begin taking money from inherited retirement accounts. Starting in 2020, instead of stretching withdrawals over your lifetime, most investors inheriting an IRA from a parent were subject to a new "10 year rule." This meant annual required minimum distributions (RMDs) were out. Instead, beneficiaries had to take the money - in full - in 10 years. In early 2022, the IRS proposed new changes, and if enacted, some inherited IRA beneficiaries will need to take RMDs again and could face big penalties. Unless a non-spouse beneficiary qualifies for an exception¹, previous guidance stipulated that funds from an inherited 401(k), IRA, 403(b), or other qualified retirement plan (including Roth IRAs) must be taken in 10 years following the year of death. Original guidance indicated disbursements within this 10-year window were optional. Now, proposed regulations from the IRS further co...

If you're planning to inherit a retirement account at some point, this video will help you avoid paying unnecessary taxes! It all depends on what type of beneficiary you are and what you choose to do next. The SECURE Act (circa 2019) brought with it a number of changes to the financial landscape. One of the most significant changes was to how inheritors of retirement accounts need to distribute funds from those accounts. Until recently, there was a lot of confusion. 0:55 - What are Required Minimum Distributions (RMDs)? 1:27 - What is the Required Beginning Date (RBD)? 2:26 - Categories of Beneficiaries 2:50 - Eligible Designated Beneficiary (EDB) 6:07 - Non-Eligible Designated Beneficiary (NEDB) 8:36 - Not Designated Beneficary (NDB) 9:48 - Why does this matter? Taxes that's wise 11:10 - Conclusion #taxes #inherited #ira #rmd #beneficiary #retirement... ( read more ) LEARN MORE ABOUT: IRA Accounts TRANSFER IRA TO GOLD: Gold IRA Account TRANSFER IRA...

To file your federal taxes for FREE visit ... ( read more ) LEARN MORE ABOUT: IRA Accounts TRANSFER IRA TO GOLD: Gold IRA Account TRANSFER IRA TO SILVER: Silver IRA Account REVEALED: Best Gold Backed IRA When it comes to inherited IRAs and 401(k) plans, the tax implications can be confusing. Many people are unsure if their inherited retirement accounts are subject to taxation. The answer is yes, inheritance of an IRA or 401(k) plan is generally subject to taxation. Inherited IRAs and 401(k) plans are typically subject to income tax. The amount of tax owed will depend on the type of account you inherit and the tax bracket you fall into. It is important to understand the tax implications of inherited retirement accounts before making any decisions. If you inherit a Roth IRA, the money you receive is not subject to income tax. However, if you inherit a traditional IRA or 401(k) plan, the money you receive is taxable income. The amount of tax owed will de...

With so many people having IRAs as part of their retirement, what happens when they pass away? What are some of the pitfalls? There was a recent court case involving an inherited IRA. What happened? What lessons can we learn? Watch Szarka Financial’s Senior Financial Advisor Alex Menassa, MT, CPA discuss these issues with Fox 8 News Anchor Roosevelt Leftwich. Securities offered through Registered Representatives of Cambridge Investment Research, Inc., a Broker Dealer, member FINRA/SIPC. Advisory Services through Cambridge Investment Research Advisors, Inc., a Registered Investment Adviser. Cambridge and Szarka Financial are not affiliated. Fixed Insurance services offered through Szarka Financial.... ( read more ) LEARN MORE ABOUT: IRA Accounts TRANSFER IRA TO GOLD: Gold IRA Account TRANSFER IRA TO SILVER: Silver IRA Account REVEALED: Best Gold Backed IRA Inherited Individual Retirement Accounts (IRAs) can be a great financial tool, but they can also b...

If you are the named beneficiary of an IRA (Individual Retirement Accounts) or you own an IRA yourself and have named beneficiaries, this topic affects you. The SECURE ACT shortened the time period beneficiaries are allowed to delay taking money out and paying income taxes. With an update earlier this year, the IRS added more confusion to distribution rules for beneficiaries. This video goes over all of this. Show Notes: Questions? Email us at Hans@CardinalGuide.com, call us at (919) 535-8261, or visit our website at CardinalGuide.com. Investment advisory services offered through Brookstone Capital Management, LLC (BCM), a registered investment advisor. BCM and Cardinal Advisors are independent of each other. Insurance products and services are not offered through BCM but are offered and sold through individually licensed and appointed agents. The content of this channel is provided for informational purposes only and is not a solicitation or recommendation of any inve...

Dear Liz: My husband and I have a combination of traditional and Roth IRAs naming our children and grandchildren as beneficiaries. With the passage of the Secure Act requiring distribution of inherited IRAs within 10 years, we want to revise our plan of leaving all of the investments to our children, as such inherited income would affect their tax bracket also. Do you have recommendations to alter the inherited IRAs to avoid this issue? Our annual fixed income puts us at the top of our tax bracket, meaning we usually cannot manage a traditional IRA to Roth conversion. Answer: The Secure Act dramatically limited “stretch IRAs, ” which allowed people to draw down an inherited IRA over their lifetimes. Now most non-spouse inheritors must empty the accounts within 10 years if they inherited the IRA in 2020 or later. There are some exceptions if an heir is disabled, chronically ill or not more than 10 years younger than the IRA owner, says Mark Luscombe, principal analyst for Wolt...