Return to the Household Finances Forum | Post a Follow-Up

 o
beneficiary assume or inherit?

Posted by calirose (My Page) on
Wed, Mar 14, 12 at 11:22

My husband has a 401k rollover into Roth. I have the option of assuming or inheriting the funds. Since taxes haven't been paid on any of these funds, I can't see any benefit of either choice (ie as opposed to setting a value on real estate for tax purposes).

I am over the 59 1/2 and under 70, so am not making a distribution decision right now.

Advice or explanation of the two options?
Thanks!


Follow-Up Postings:

 o
RE: beneficiary assume or inherit?

You seriously need to consult a tax professional. Someone who will know your specific circumstances. And I thought that taxes were paid on Roth money, unlike the 401K which is pre-tax money.

No, you need a professional to assist you.


 o
RE: beneficiary assume or inherit?

I second sushipup's suggestion. The Internet is only good for general discussions. They should not be relied upon in specific and critical situations.

As I'm fond of saying, such advice is worth precisely what you paid for it - meaning, zero.


 o
RE: beneficiary assume or inherit?

thanks, I was just trying to get a feel for what to ask a tax atty.
ps: there are different types of roth accts.


 o
RE: beneficiary assume or inherit?

Sorry, Calirose. All Roths IRAs are funded with money that has already been taxed. Is it possible that the 401K was rolled into a traditional IRA and not a Roth IRA?

I'll third the need to talk to a tax professional. I'd suggest an Enrolled Agent who will probably charge you less than a tax attorney.


 o Post a Follow-Up

Please Note: Only registered members are able to post messages to this forum.

    If you are a member, please log in.

    If you aren't yet a member, join now!


Return to the Household Finances Forum

Instructions

  • You must be a registered member and logged in to post messages on our forums.
  • Posting is a two-step process. Once you have composed your message, you will be taken to the preview page. You will then have a chance to review the contents and make changes.
  • After posting your message, you may need to refresh the forum page in order to see it.
  • It is illegal to post copyrighted material without the owner's consent.
  • HTML codes are allowed in the message field only.
  • No advertising is allowed in any of the forums.
  • If you would like to practice posting or uploading photos, please visit our Test forum.
  • If you need assistance, please Contact Us and we will be happy to help.



 
Click here to learn more about in-text links on this page.