Tom Bently asked 2 months ago
You guys are the best! I’ve learned a ton by following all of your materials and have moved all of our self-directed accounts do Directed IRA.
We had a meeting with my Mother-in-law’s financial planner to discuss estate planning and the financial planner advised us that it was better to have an individual be the beneficiary for an IRA rather than a trust because trust tax rates would apply to distributions which tend to be higher than individual rates.
I would love to have you guys do a deep-dive on your thoughts as to how beneficiaries should be handled for both 401k’s and IRA’s. Possible areas to cover would be spouse vs trust (both revocable and irrevocable) as beneficiary; secondary beneficiaries, young vs adult children. Ease of transition in dealing with probate and the custodian. And of course the tax ramifications for these options, both Roth and Traditional.