In another column on required IRA withdrawals, I looked at the tax rules that require the elderly to start drawing on the moneys in their individual retirement accounts (IRAs). Under those rules, there are stiff penalties if you fail to make withdrawals from your IRAs after you reach age 70.5. In this article, we’ll take […]
MANDATORY IRA WITHDRAWALS
THIS ARTICLE DISCUSSES THE RULES ISSUED BY THE INTERNAL REVENUE SERVICE ON APRIL 16, 2002. AS OF JANUARY 2020, THESE RULES STILL REMAIN VALID. HOWEVER, AS A RESULT OF THE SECURE ACT SIGNED IN DECEMBER 2019, THE AGE WHEN YOU MUST START YOUR RMDS, HAS BEEN INCREASED FROM AGE 70.5 TO AGE 72. Everyone has […]
IRA WITHDRAWALS AFTER DEATH BEFORE 2020
THIS ARTICLE DESCRIBES THE RULES THAT APPLY TO IRA OWNER’S WHO DIED BEFORE JANAURY 1, 2020. FOR THE RULES THAT APPLY TO DEATHS AFTER 2019, CHECK THIS POST: THE SECURE ACT Initially, it is important to realize that IRA accounts are similar to life insurance policies in that you do get to designate a beneficiary […]
MEDICARE TO PAY FOR MORE SKILLED CARE
More than three years ago, I wrote about a class action lawsuit called Jimmo v. Sebelius, where the government agreed that the “failure to improve” standard should not be the deciding factor in terminating an individual’s Medicare skilled nursing benefit. When the case was settled in 2012, the Centers for Medicare and Medicaid Services (“CMS”) […]
PLANNING FOR A BENEFICIARY WITH SPECIAL NEEDS
When it comes to estate planning there is never a “one-size-fits-all” solution. There are many tools and the estate planner’s job is to determine which one makes sense for each person’s particular circumstances. When that person’s estate plan includes a beneficiary who is disabled, quite often the right tool is a “special needs” trust. Otherwise, […]
