After passage of the SECURE Act of 2019, non-spouse IRA beneficiaries are now required to liquidate their inherited IRAs by the end of the 10th year. Often, that means they’ll be withdrawing taxable income from the inherited IRAs during their peak earning years – great gift for Uncle Sam, but not so good for the kids.
Managing inherited money isn’t as simple as depositing the check and picking some sure-fire investments.
We’ve all been conditioned to believe the well-known 529 plan is the “designated” college savings vehicle – people tend to think of it automatically when planning.
I wish I could take credit for this list, but I can’t. This is from the Society of Actuaries who outlined these unexpected or shocking expenses in its 2015 Risks and Process of Retirement Survey. I doubt it’s changed much since. Here they’re ranked by the likelihood of it happening.
When a loved one dies, it can be a bit chaotic. I remember when my parents passed away, they had lived a very long and happy life.
This major change will bring in $15.7 billion in tax revenue by 2029, according to the joint committee on taxation in their report on the bill, H.R. 1994. And, guess whose money they want? Yes, yours.
The SECURE Act has changed the game, especially for parents who were planning on leaving substantial nest-eggs to their kids, with the elimination of Stretch IRAs. Uncle Sam may be the biggest beneficiary.
Giving to charity doesn’t have to mean your kids get less. You might be able to make everyone happy… except Uncle Sam.
Few people think about this – and I wish I could be the smart guy that thought of this for this post, but I wasn’t . It’s something called the widow’s penalty tax; it affects the surviving spouse.
According to Financial Planning magazine, more than 5% of school-age children are diagnosed with a disability of some type
We all love free money; and no taxes on Social Security sounds good! Hey, Social Security benefits weren’t taxed for many years!
As you may or may not know, the Tax Cuts and Jobs Act is due to expire at the end of next year – just 16 months from now. The Biden Administration has proposed new tax increases worth knowing about.
