Protection from IRA Distributions
I have a client that just pleaded guilty to a murder he committed 48 years ago; DNA is how they found him. He has an I.R.A. that I know is protected from a civil suit. He is 70 years old, would the distributions going to their joint checking account with his wife be protected from a civil suit?
Frank Dogger
Permalink Submitted by Alan - IRA critic on Fri, 2023-11-03 14:52
State based creditor protection provisions only apply to funds while they remain in the IRA. After distribution, they are vulnerable but the wife will likely be allowed to keep the funds needed for a fairly basic life style. She may or may not have to file for bankruptcy.