The arrival of fall means that it’s back to school time! This also means it is time for new school supplies and other bigger expenses. Are you thinking about using your IRA to pay that large tuition bill? The rules can be complicated. Here are 10 things you will want to know.
You may have heard of the Net Unrealized Appreciation (NUA) tax break. This is a special rule that allows you to qualify for capital gains treatment on distributions of appreciated employer stock from your employer plan. With the market doing well, now may a be a time when this strategy is more appealing than ever. You may understand the basics of how these rules work but here are five facts about NUA that may surprise you.
This week's Slott Report Mailbag looks into inherited IRAs, spousal rollovers, and 401(k)'s.
Retirement plans are intended to be used for retirement. However, sometimes life gets in the way and you need to tap those funds early. Generally, when you take a distribution from your retirement plan prior to reaching age 59 1/2, you will be hit a with a 10% early distribution penalty. However, there are some exceptions to the penalty. Determining whether an exception applies can be tricky because some exceptions apply only to IRAs and some apply only to company plans. Other exceptions apply to both. Take our 10% early distribution quiz and see how well you know these complicated rules.
This week's Slott Report Mailbag looks into into IRA contributions and rolling over 401(k) assets from former employers.
Do you have an HSA? Have you thought about what will happen to those funds after you are gone? You may be surprised. At your death, any funds remaining in your HSA are payable to the beneficiary you name on the account. If your spouse is your beneficiary the news is good. If your kids get your HSA, they may not fare so well.
Nothing lasts forever. This includes tax deferral on your IRAs. Eventually, Uncle Sam is going to want his share and will require funds to come out of these accounts. That is when required minimum distributions (RMDs) must begin. What if you don’t need the money? What if you don’t want a tax hit? Here are five strategies to reduce your RMDs.
This week's Slott Report Mailbag looks into taking RMDs from multiple accounts, 60-day rollovers and the once-per-year rollover rule.
As the summer heats up, healthcare remains a hot topic. Will the ACA survive? Will Congressional Republicans succeed in repealing and replacing it? As we reach July these questions remain unanswered. One thing that is clear, however, is that Health Savings Accounts (HSAs) are playing a significant role in the healthcare deliberations. Proponents advocate expanding these accounts as a way to save on health costs and get a tax break. Opponents argue that HSAs can’t help those who cannot afford to fund them.
This week's Slott Report Mailbag looks into direct rollovers, Notice 2014-54, the pro-rata rule and NUAs.
