The SECURE Act (Setting Every Community Up for Retirement Enhancement Act of 2019) is about to make significant changes to IRAs and certain retirement benefits. So if you have an IRA, it is important to sit down with your Brevard County estate planning attorney and discuss possible changes to your plans.
A recent article in Forbes says it might be wise for those with IRAs to look at revising beneficiary designations and also to discuss with their lawyers possible revisions to wills and trusts that include so-called conduit trusts used to hold IRAs and maximize benefits while you’re alive.
The article also states that you might be able to modify your conduit trust to address issues created by the SECURE Act.
But Forbes says it might make sense for some to entirely rethink their IRA account structuring. It might be wise to designate a charity as a beneficiary or to pay the IRA balance to a Charitable Remainder Trust and stretch out the payments to the beneficiary.
All of these possibilities should be considered as part of making plans for the upcoming demise of the so-called “stretch IRA” for most people inheriting IRAs after Dec. 31 of this year. Most of those folks inheriting an IRA after 2019 will be required to withdraw all the assets within a decade of your death.
That will likely result in more taxes paid than had been originally planned for with the stretch IRA, Forbes reports.
You can talk over these changes and others with your Cocoa estate planning lawyer
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