Updated RMD Rules for Inherited IRAs
Last week, the IRS updated the RMD (Required Minimum Distribution) rules related to inherited IRAs. This update was significant because individuals, advisors, and the IRS have been debating the interpretation of the “10-year rule” language. If you inherited an IRA from someone other than a spouse after December 2019, the question was, were you required […]
Gifting Money to Children to Purchase a Home
In today’s real estate market, many first-time home buyers struggle to raise enough cash for a down payment necessary to purchase a home. In this case, those home buyers may look to their parents for help. For parents who are in a financial position to help, gifting money to their children is a wonderful way […]
HSA Planning: Drawdown and Estate Planning
The IRS recently announced the annual HSA contribution limits for 2024: $4,150 for self-only coverage and $8,300 for family coverage. This is one of the most significant jumps in years and not surprising, given the latest inflation trends. And if you are 55 or older, you can tack on an additional $1000 catch-up contribution. What […]
Importance of Beneficiary Designations
If you own a life insurance policy, annuity contract or individual retirement account, or are a participant in a company sponsored retirement plan (collectively “Accounts”), you are probably familiar with the term beneficiary designations. Beneficiary designations allow an individual to direct assets from an Account directly to a named beneficiary upon the death of the […]
Gifting Stock To Family Members
The holidays are quickly approaching and people are starting to think about their gift list. One of the questions that often pops up around this time is about gifting shares of stock to a family member. Gifting shares of stock can be a great gift. It can help stimulate a young person’s interest in the […]
Qualified Charitable Distributions
With two months left in the calendar year, it is time for those of us who have yet to take our required minimum distribution (“RMD”) from our individual retirement account (“IRA”) to do so. If you find yourself in the fortunate position of having to take your RMD, but not needing some or all of it, you may want to consider donating some or all of your RMD […]
Charitable Giving Strategies To Consider
The onset of the pandemic in 2020 inspired many individuals to be more generous with their charitable giving. According to a recent Giving USA Report released in June, individuals gave an estimated $309.66 billion to charities in 2020. This was a 4.7% increase from 2019 and was the 2nd highest total dollar amount ever recorded. […]
Helping Aging Parents Manage Their Finances
It is said that getting old is not for sissies. Well, neither is watching your parents slow down, mentally and physically, as they age. As our parents once did for us, adult children must know when to judiciously step in and help navigate the increasingly complex financial waters for our aging parents. But knowing when […]
Do I Need A Living Trust?
Much has been written about the use of a living trust as a means of reducing the cost of passing your assets to your heirs at death. For most people, the primary motivation for creating a living trust is to avoid the probate process. In general, any assets which are in a decedent’s individual name […]