Oxnard IRA Retirement Trusts
We Serve Clients Throughout Ventura County
Most people don’t fully understand what could happen to their retirement
plans after they pass away. At Kaiden Elder Law Group, PC, our team of
highly skilled and knowledgeable attorneys help clients set up and manage
IRA retirement trusts. People often opt to transfer retirement plans via an IRA Retirement Trust
for Asset Protection reasons. This is especially important in second marriage
situations.
What Is an IRA Retirement Trust?
This type of trust is a specialized trust that can hold and distribute
retirement funds for the benefit of the lifetime beneficiary(ies) now,
while later making distributions to a different set of beneficiaries.
This is especially important for blended families.
Why Do I Need an IRA Retirement Trust?
While leaving a retirement plan to a loved one seems simple because you
only need a beneficiary designation form to name a primary or contingent
beneficiary, what actually happens to your retirement account(s) after
you die might not be what you intended.
For example, your intended beneficiaries might not be named because your
beneficiary designation form wasn’t updated after a major life event,
such as a birth of a child, death in the family, marriage, or divorce.
Another issue with retirement plans is when the funds are left to children
who are not ready to handle large sums of money. If IRA funds are left
to a minor, a court guardianship will likely be needed as well. What's
more is that under the SECURE Act, most beneficiaries can no longer stretch
out minimum required distributions over their lifespan. Under this Act,
beneficiaries of retirement accounts are required to withdraw retirement
funds (and pay taxes) within ten years of inheriting those accounts. But
this is not always the case and that's where a specialized trust for retirement
accounts can really come in handy.
Other Important Facts About IRA Funds
The Supreme Court ruling in
Clark vs. Rameker ruled that inherited IRAs are no longer protected in bankruptcy. The ramifications
of this decision reach far and wide. Additionally, divorcing spouses,
business partners, foreclosing banks (of your beneficiaries) and others,
can potentially attach the inherited retirement accounts.
If you want to provide a certain degree of protection for your children
and other beneficiaries, then get in touch with Kaiden Elder Law Group,
PC. Our Retirement Trusts offer peace of mind by ensuring that funds are
distributed to those you want, not their creditors, nor future unrelated
family members.
Call our full-service law firm today at
(661) 306-2500, or contact us online to
schedule your case consultation.