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SIMPLE PLAN CONTRIBUTION LIMITS: INCREASED FOR MANY

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   We have written about this subject in the past (December 2023), but as is our philosophy here, learning is all about repetition, repetition, repetition. Surprisingly (he says with tongue...

WHEN A REVERSE ROLLOVER MAKES SENSE

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport In a famous “Seinfeld” episode, George Costanza, unemployed, living with his parents and without a girlfriend, decides to do the opposite of what he would normally do. It pays off for him big time as he...

WHAT YOU NEED TO KNOW ABOUT COMMUNITY PROPERTY AND YOUR IRA

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport What do you get when community property mixes with your IRA? Well, you will discover that the results can be confusing. Here are some facts every IRA owner should know. Community...

ED SLOTT’S ELITE ADVISOR GROUP℠ MEETS IN INDIANA

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   Ed Slott’s Elite IRA Advisor Group℠ gathered in Indianapolis last week for another successful conference. Over 350 member advisors from across the country spent two intense days of training,...

A CHEAT SHEET FOR IRA BENEFICIARY RMDS

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport   It’s been over four years since the SECURE Act upended the rules for beneficiary IRA required minimum distributions (RMDs), and there’s still plenty of confusion about the new rules. The IRS did give...

YOUR RMD IS NOT ELIGIBLE FOR ROLLOVER

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport   If you are at retirement age, you might be at a high risk for excess contributions due to rollover mistakes. This is because of the rule that says that the required minimum...

Weekly Market Commentary

-Darren Leavitt, CFA It was an extremely busy week on Wall Street.  First-quarter earnings results were highlighted by Apple and Amazon.  Investors encouraged by their results sent higher shares on the back of increased dividends, increased share buyback programs, and...

ONE 60-DAY ROLLOVER PER YEAR?

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   SCENARIO: In one calendar year, Jessie completes the following transactions: 1. Takes a partial distribution from her 401(k) and does a 60-day rollover to an IRA. 2. Does a 60-day rollover...

401(K) RMDS IN THE YEAR OF RETIREMENT

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport   Here’s a question we get asked often: Say you retire in the year you turn age 73 (or in a later year) and you want to roll over your 401(k) funds to an IRA. Do you have to take a required minimum...

3 QUESTIONS TO ASK TO DETERMINE IF AN HSA IS RIGHT FOR YOU

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport The cost of healthcare continues to climb. Are you frustrated with higher premiums and out-of-pocket costs? You are not alone. You may be looking for new strategies to handle these...

FUNDAMENTALS OF THE LIFETIME RMD

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   We answer some pretty complex IRA and retirement plan questions. Our newsletters and other Slott Report entries can get into the weeds on some tricky topics. The thing is, when you spend all...

TWO RMD STRATEGIES TO AVOID IRMAA

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport You have carefully saved for retirement and now you have accumulated a substantial amount of funds in your IRA.  At some point the funds that you have been putting away for years...

THE WISE SHOPPER – ROTH CONVERSIONS

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   Imagine walking through a grocery store, intent on purchasing a specific item. As you turn down an aisle, little colorful tags proclaiming “Special Deal” and “Buy 1, Get 1” protrude from each...

JUST A FEW DAYS LEFT TO FIX 2023 EXCESS 401(K) DEFERRALS

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport If you exceeded the 2023 limit for 401(k) deferrals, time is of the essence to correct the error. If you don’t act quickly, the tax consequences can be serious. The maximum amount of pre-tax and Roth...

4 WAYS TO REDUCE YOUR RMD TAX BITE

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport Markets continue to climb. That is good news for your retirement account. However, there is a downside. When you contribute to a traditional IRA or a pre-tax 401(k), you make a deal...

10 POINTS: FIXING EXCESS IRA CONTRIBUTIONS

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport ‘Tis the season for identifying and correcting excess IRA contributions. It seems as if every other recent inquiry is about this subject. To keep readers on the straight and narrow, here are ten...

RMD RULES FOR IRA BENEFICIARIES: TODAY’S SLOTT REPORT MAILBAG

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport Question: Hi, My last remaining parent, my mother, passed away in May 2017, and my younger brother and I inherited her IRA (equally split into inherited IRA accounts). We were of the understanding we could...

ARE 529-TO-ROTH IRA ROLLOVERS SUBJECT TO STATE TAX?

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport Previous Slott Report articles have covered the new SECURE 2.0 provision allowing 529 funds to be rolled over to Roth IRAs. We’ve reported that there are several unanswered questions concerning this new...

TWO CAUTIONS WHEN DOING A BACKDOOR ROTH CONVERSION

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport You might be thinking about contributing to a Roth IRA. One big hurdle to making these contributions is the fact that there are income limits that make high income individuals...

Weekly Market Commentary

-Darren Leavitt, CFA US equity markets forged another set of new highs in an extremely busy week on Wall Street.  Global Central Banks took center stage, headlined by the Bank of Japan, the US Federal Reserve, and the Bank of England.  The BOJ, as expected, moved away...

WHAT IS RETIREMENT? FANTASY VS. REALITY

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   Three times a week, every week, we add to the Slott Report. Two article entries and a mailbag. All factual, measurable information. “This is what to consider when you name a trust as your...

HOW SECURE 2.0 IMPACTS COMPANY PLAN IN-SERVICE WITHDRAWALS

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport Retirement plan funds are designed for retirement, but Congress continues to make it easier for employees to pull out those funds while still working. The SECURE 2.0 law adds several new in-service...

TAX TIME TIPS FOR IRAS

By Sarah Brenner, JD Director of Retirement Education Follow Us on X: @theslottreport IRAs are an important, but often overlooked, part of your overall tax planning. As the deadline for filing 2023 tax returns approaches, it is a good time to incorporate your IRA plan...

WHAT’S THE PROCESS WHEN A TRUST (OR ESTATE) IS IRA BENEFICIARY?

The same conversation has, understandably, been repeated many times. The questions are similar: “What do we do when a trust (or estate) is IRA beneficiary? How do we set up the account? Aren’t we now stuck with the high trust tax rates?” Of course, there is not enough...

WHAT ARE THE RULES FOR 401(K) IN-SERVICE WITHDRAWALS?

Congress has determined that 401(k) and other company plan funds, with certain exceptions, should be saved for retirement. For that reason, it has imposed strict restrictions on the ability of employees to withdraw from these plans while still working. Plans must...

A WAY TO JUMP-START 529-TO-ROTH ROLLOVERS

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport We have covered in The Slott Report the new SECURE 2.0 provision that allows unused 529 plan funds to be rolled over to Roth IRAs. It originally appeared that this new rule was to be effective for 2024....

LAST WEEK IN LA JOLLA

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport Last week in La Jolla, California, the Ed Slott team hosted another incredibly successful 2-day advisor training program. Nearly 200 financial professionals from across the country chose to join us...

GHOST VS. 5-YEAR: THE CALENDAR DICTATES

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport Ever since the SECURE Act created a 10-year payout rule for most IRA beneficiaries, that topic has garnered the bulk of conversation. This is understandable. Not only was the 10-year rule a brand-new...

Weekly Market Commentary

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport We’re getting lots of questions about the SECURE 2.0 change that allows annuitized IRA annuities to be aggregated with non-annuity IRA funds for required minimum distribution (RMD) purposes. This change...

529 PLANS AND INHERITED IRAS: TODAY’S SLOTT REPORT MAILBAG

Question: I have two questions regarding the 15-year requirement that applies to new rules allowing rollovers from 529 plans to Roth IRAs. If you change beneficiaries, will it reset the 15-year clock? Secondly, if you roll your 529 plan into another 529 plan (say...

ROTH IRA FOR A TEENAGER – AN ASTRONOMICAL RESULT?

By Andy Ives, CFP®, AIF® IRA Analyst Follow Us on X: @theslottreport   The mailman delivered my son’s 2023 W-2 the other day. I was curious what he earned last year as a lifeguard at our community pool, so I opened the envelope. Box 1, “Wages, tips, other...

NEW ROTH PROVISIONS EFFECTIVE IN 2024

By Ian Berger, JD IRA Analyst Follow Us on X: @theslottreport 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....