The New Year is here, and you may be thinking about an array of resolutions you have for 2019. This year, we want to encourage you to really pay attention to your IRA (Individual Retirement Account) and leave no stone unturned. Here are some steps you should take to help make sure that everything is organized and in place for your beneficiaries:
- I will obtain a copy of the IRA beneficiary form for each IRA I own.
- I will make sure that I have named a primary beneficiary and a secondary (contingent) beneficiary for each IRA I own.
- If there are multiple beneficiaries on one IRA, I will make sure that each beneficiary’s share is clearly identified with a fraction, a percentage, or the word “equally” if that is applicable.
- I will make sure that the financial institution has my beneficiary selections on file and that their records agree with my choices.
- I will keep a copy of all my IRA beneficiary forms and give copies to my financial advisor and attorney.
- I will let my beneficiaries know where to locate my IRA beneficiary forms.
- I will review my IRA beneficiary forms at least once each year to make sure they are correct and reflect any changes during the year due to new tax laws or major life events such as a death, birth, adoption, marriage, re-marriage or divorce.
- I will check the IRA custodial document for every financial institution that holds my IRA funds. I will make sure that the financial institution allows the provisions that are important to me and my IRA beneficiaries.
- I will do all of the above for any company retirement plan accounts I have, like 401(k)s, 403(b)s or 457 plans.
As you look to 2019 with a fresh start, we encourage you to follow these steps to help you start out on the right path. We are always here to assist you in creating the future you desire. If you have questions about your retirement plan, whether you’re a client or not, don’t hesitate to give us a call at 913-393-1000 or fill out the form below to request a meeting.
Copyright 2018 Ed Slott and Company
Reprinted from The Slott Report, with permission.
Ed Slott and Company, LLC takes no responsibility for the current accuracy of this article.
Investment advisory services offered through Barber Financial Group, Inc., an SEC Registered Investment Adviser.
The views expressed represent the opinion of Barber Financial Group an SEC Registered Investment Advisor. Information provided is for illustrative purposes only and does not constitute investment, tax, or legal advice. Barber Financial Group does not accept any liability for the use of the information discussed. Consult with a qualified financial, legal, or tax professional prior to taking any action.