RMD

RMD CALCULATION AND TRUSTS FOR DISABLED BENEFICIARIES: TODAY’S SLOTT REORT MAILBAG

Question:Hoping you can help with this technical question. I am over 73. My traditional IRA balance as of 12/31/22 was $0.00. I made a $7,500 non-deductible traditional IRA contribution in 2023 and converted the full balance ($7,508.23, including $8.23 of interest) to a Roth IRA in 2023. I did not do an RMD prior to the conversion, but I did not have a traditional IRA balance at the end of 2022 and my 2023 traditional IRA contribution was non-deductible.

NEW ROTH PROVISIONS EFFECTIVE IN 2024

When the bell dropped in Times Square last Sunday night, a bunch of new provisions from the SECURE 2.0 legislation kicked in. This article will focus on the Roth-related changes that are effective in 2024.

Roth Conversions and Inherited IRAs: Today’s Slott Report Mailbag

Question:I have a traditional IRA with a portion being nondeductible contributions. The last nondeductible contribution I made was in 2009. and I have my Form 8606 showing the basis. I want to convert a portion of my traditional IRA to a Roth IRA. Can I convert all of the nondeductible amount plus some of the before-tax contributions to a Roth IRA? I have never taken any distributions from my traditional IRA. I'm 52 years old.Thanks,Jeff

SUCCESSOR BENEFICIARY RULES AND NEW SPOUSE BENEFICIARY RULES: TODAY’S SLOTT REPORT MAILBAG

Question:My sister inherited an IRA from our mother (age 95 and died in 2019.) My sister took her RMDs (required minimum distributions) from this inherited account over her life expectancy. My sister died in 2021, leaving me as her beneficiary of this inherited IRA. My sister had already taken her 2021 RMD before her death. Not knowing, I took an RMD in 2022 by just dividing her 12/31/21 value by 10. Now I am uncertain what to do for my RMD in 2023. What schedule do I use now for the RMD in 2023? Also, does the account need to be depleted by the end of 2031 or 2032?

Time is Running Out for 2023 QCDs

If you are charitably inclined and have an IRA, you might want to consider doing a Qualified Charitable Distribution (QCD) for 2023. The deadline for a 2023 QCD is fast approaching. It is December 31, 2023, but many custodians have even earlier cutoffs. Don’t miss out on this valuable tax break. Here is what you need to know.

Deadline to Take Your 2023 RMD is Almost Here

It is December. The halls are decked, and Starbucks holiday cups are everywhere. The end of the year is not far away. That means the deadline is near for taking a required minimum distribution (RMD). Here is what you need to know if you have your own IRA or if you are an IRA beneficiary.

Bad Santa & The Grinch Offer Horrible IRA Advice – Part 1

If the Grinch and Bad Santa both passed their FINRA Series 7 exam and decided to open an investment advisory firm, I’m pretty sure they would combine forces to intentionally deliver some of the WORST financial advice possible. Here are some of their truly terrible, hideously horrible, good-for-nothing planning ideas:

Still-Time-Left To-Do List

Year-end to-do lists are commonplace. The problem is, they always seem to get published in mid-to-late December. I can almost hear the collective “thanks for nothing” comment from readers as the information arrives too late to act upon. As we are still before Thanksgiving, here are a few year-end items to consider…before it really is too late.

RMDs When Your IRA Investments Are Not Liquid

You may have noticed grocery stores stocking up for Thanksgiving, and festive lights and displays going up everywhere. Yes, it is the holiday season, but it is also the season to take required minimum distributions (RMDs). One question we have been getting a lot this year involves RMDs when IRA investments are not liquid.

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