Roth Account in Revocable Trust
My wife and I both have a revocable trust. We both have Roth accounts with beneficiaries designated.
My question?? Should the Roth accounts be held in the revocable trusts??
My wife and I both have a revocable trust. We both have Roth accounts with beneficiaries designated.
My question?? Should the Roth accounts be held in the revocable trusts??
Permalink Submitted by David Mertz on Wed, 2023-11-29 18:28
Only an individual can own an IRA. The owner is not permitted to transfer ownership of the IRA to a trust. The trust can be a beneficiary of the IRA, but unless you have a good reason to make a trust a beneficiary of an IRA, doing so only complicates matters. If your intent is that the surviving spouse assume ownership of the IRA, there is no reason to make a trust the beneficiary instead of making the spouse the beneficiary directly.
Permalink Submitted by James Sheehan on Thu, 2023-11-30 02:52
Thank you