Planning for the Future: What the SECURE Act Could Mean for You
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Employees across the third-party logistics industry are planning for their retirement and thinking about the future they will leave for their children and grandchildren. This month, Congress is getting ready to pass legislation that would drastically change the game for people planning to leave their IRA to their inheritors.
A stretch IRA extends the tax-deferred status of an inherited IRA when it is passed to a non-spouse beneficiary, like a child or grandchild, allowing for continued tax-deferred growth over the inheritor’s lifetime. This provides them with a steady stream of income while also spreading out the tax they must pay on the IRA distributions.
The SECURE Act, which the House of Representatives passed in May and the Senate could vote on this month, would limit the stretch period for IRAs to 10 years for the vast majority of non-spousal beneficiaries, requiring the account to be fully distributed – and the inheritor to pay the full tax on those distributions – within that timeframe. This would deprive inheritors of potentially decades’ worth of investment income and would also greatly increase their tax burden.
Join us on November 18 for a webinar on the SECURE Act and how its provisions related to stretch IRAs could affect your ability to plan for your inheritors’ financial futures. The webinar will feature Paula Calimafde, an attorney with more than 35 years of experience advising families and businesses on estate planning and retirement planning.
Speaker:
Paula Calimafde, Principal, Paley Rothman Attorneys at Law
3-4PM EST Monday, November 18
