INherited IRA – Nonspouse Beneficiary
My stepson was named primary co-beneficiary on his grandfather’s state retirement plan benefit. His grandfather passed away in 1995. My stepson recently turned 18 and has received the paperwork to make his distribution election. According to the plan contact, he is able to rollover a portion of the proceeds using the life expectancy rule. What now?
Permalink Submitted by Clyde Wolf on Wed, 2008-09-10 18:26
Bilmored,
Your stepson’s grandfather was a wise person.
As is often the case for situations posted on message boards, there is too little information provided to offer good advice. Here are some questions that may help:
1) To what can your stepson rollover a portion of the proceeds?
2) Is this a lump sum rollover or part of a monthly/annual distribution that can be rolled over?
3) What happens to the portion that is not rolled over to …..?
4) Do you know what the other co-beneficiary is selecting?