With the value of IRAs and pension plan accounts continuing to increase, there are a number of Planning Considerations we assist our clients in evaluating. Once the Planning Considerations have been evaluated and analyzed, we assist our clients in selecting the right strategy that will achieve their goals and objectives.
No. 1: Knowing the difference between rollover IRAs and contributory IRAs is important for bankruptcy and creditor protection purposes.
No. 2: Understanding that community property interests are disregarded with IRAs for federal income tax purposes and the related estate planning considerations and options.
No. 3: Understanding the estate planning consequences of the U.S. Supreme Court holding that inherited IRAs are not protected in bankruptcy and, under state law, are not protected against creditors outside of bankruptcy in California.
No. 4: Analyzing whether an IRA Beneficiary Trust should be created to protect the IRA assets for the beneficiaries of the IRA.
No. 5: If creating an IRA Beneficiary Trust is appropriate, assisting clients in determining whether the trust should be structured as a conduit trust or an accumulation trust?
No. 6: Assisting clients in understanding the benefits of creating an IRA Beneficiary Trust in contrast to naming the family revocable trust as the beneficiary of the IRA.
No. 7: Understanding how the “stretch out” benefits of taking advantage of the “separate account” rule can be achieved whether individuals are named as beneficiaries of an IRA or a single IRA Beneficiary Trust or a separate IRA Beneficiary Trust for each beneficiary will be created to provide the beneficiaries with creditor protection.
No. 8: Understanding the benefits of creating a business trust to be funded from a Self-Directed IRA when acquiring “alternative investments” is a goal and objective of the IRA owner.
No. 9: Assisting beneficiaries of an IRA in understanding the key dates to be aware of after the death of the IRA owner and the responsibilities of the beneficiaries with respect to each date, especially regarding the timely withdrawal of required minimum distributions.
No. 10: Advising surviving spouses as to their options when they are listed as the primary beneficiary of the deceased spouse’s IRA.
No. 11: Advising a non-spouse who is the designated beneficiary as to his or her responsibilities for transferring the assets from the deceased owner’s IRA to an inherited IRA and the related minimum distribution requirements.