Inherited IRA non-spouse beneficiary
I have a client who just inherited an IRA from her aunt. MFS is telling her that she cannot set up a beneficiary IRA. I told her we must set up a new IRA as follows: Jane Doe beneficiary IRA, Aunt Doe SS#, deceased 1/1/7, and that she could name her own beneiciaries.
Why would MFS be telling her she cannot do this??? What am I missing?
What we’re trying to accomplish is a liquidation of the fund holdings so that we can transfer out into a managed model account. MFS won’t let her make any changes.
Feedback is appreciated. References would be nice. I’m going to have to call and argue with MFS on her behalf, I think.
Permalink Submitted by Denise Appleby on Mon, 2007-09-10 23:23
You probably need to speak with someone else.
MFS has material on their website regarding inherited IRAs- including ‘Stretch IRAs’, which means they do establish such IRAs.
The SS# used for the inherited IRA would be that of the beneficiary .
Permalink Submitted by Al Fry on Tue, 2007-09-11 00:08
Maybe Aunt Doe’s was already an inherited IRA? Even if it was, you can still transfer the funds. Open the account with the custodian he wants, and let them get the funds from MFS.