October 2024 – The Financial Puzzle Playbook

You Inherit an IRA, Now What? (Ep. 12)

By The Financial Puzzle Playbook | October 16, 2024

Could your financial future hinge on choosing the right path after inheriting a retirement account?

In this episode, Jim Sumpter provides insights and guidance on the nuanced rules and changes surrounding the inheritance of retirement accounts such as IRAs and 401(k)s. If you’ve recently found yourself as a beneficiary, understanding your options with inherited retirement accounts is crucial. Navigating the complex rules surrounding IRA inheritances can be daunting, with changes galore post-2020. Jim breaks it all down with real-world scenarios, helping you make informed financial decisions and avoid unnecessary pitfalls.

Jim Sumpter, CFP®, discusses:

(01:10) Introduction to IRAs and inheritance rules
(02:47) Differences between spousal and non-spousal beneficiary rules
(03:11) Important strategies for handling required minimum distributions (RMDs)
(16:52) Clarifications on the post-2020 ’10-year rule’ for non-spousal IRA inheritance
(24:53) The significance of state taxes in IRA inheritance
(27:57) Unique challenges when inheriting an IRA as a minor
And more

Join us for this enlightening conversation to uncover how to strategically approach inheritance distributions while considering tax implications, ensuring you’re not left piecing your financial future together in the dark!

Connect with Jim Sumpter:

Podcast: Play in new window | Download | Embed

Subscribe: RSS | More

Maximize Your Retirement Savings: Tips on 401(k) and Roth 401(k) (Ep. 11)

By The Financial Puzzle Playbook | October 2, 2024

Are you making the most of your company’s benefits? Dive in to uncover how to maximize your 401(k), 403(b), and other investment options within your employee benefits package.

In this episode of The Financial Puzzle Playbook, Jim Sumpter dives into the intricacies of 401(k) and 403(b) plans, comparing Roth and traditional options. He discusses the importance of employer matching and shares tips on navigating investment choices, ensuring you get the most out of your benefits. Discover the intricacies of traditional and Roth 401(k) plans, learn the impact of employer matches, and gain insight into how vesting schedules work. Jim also explores vesting, the importance of matching contributions, and tips for choosing investment options that align with your retirement goals.

Jim Sumpter, CFP®, discusses:

A breakdown of the difference between traditional vs. Roth 401(k) options and their tax implications
Why you should always contribute at least enough to get the full employer match
Tips on selecting investment choices within 401(k) plans, including target date funds
Rebalancing your investment portfolio to align with your financial goals
And more