inherited IRA to profit sharing plan
husband has a profit sharing plan with him as the only member. wife has an IRA. Wife dies and husband is the beneficiary of the IRA. IRA was transferred to his name. Can he now move the money into his profit sharing plan?
Permalink Submitted by Alan Spross on Sat, 2008-05-31 02:11
Yes, providing that the plan provisions allow acceptance of IRA transfers. The transfer would automatically change the status of the IRA to ownership from an inherited interest, but he needs to make sure that he did not inherit any IRA basis from his wife since after tax amounts cannot be transferred to a QRP.