Kenneth Busch
Expert
- 35
Have all carriers stopped taking inherited IRAs for indexed annuities? Does anyone know of a carrier that still does? Thanks
Inherited IRAs
- Thread starter Kenneth Busch
- Start date
- 11,274
I haven't worked with an inherited IRA in a long time.
My IMO for annuities is CG Financial Group with Charlie Gipple. Give him a call. Tell him David Kinder sent you.
https://cgfinancialgroupllc.com/
My IMO for annuities is CG Financial Group with Charlie Gipple. Give him a call. Tell him David Kinder sent you.
https://cgfinancialgroupllc.com/
- Thread starter
- #3
Kenneth Busch
Expert
- 35
Thanks DHK. Seems like the carriers don't want to touch them now because of the ten year rule.
- 11,274
Probably because they don't have a product good for it.
Check out the Athene Agility 10 FIA. It will allow 10% distributions based on the original premium (rather than anniversary values) AND still have a lifetime income rider (no cost to the policyholder).
Ask Charlie about it.
Check out the Athene Agility 10 FIA. It will allow 10% distributions based on the original premium (rather than anniversary values) AND still have a lifetime income rider (no cost to the policyholder).
Ask Charlie about it.
- 4,567
I am guessing most carriers are permitting inherited IRA as a death claim on existing claims, but assuming you are asking more about carriers accepting rollovers of existing inherited IRA accounts. Are you asking about inherited IRA with date of death before or after 1/1/20 or both?
- 149
Hello, IMO product specialist here. Great American and Lincoln will both take new Inherited IRA's with death occurring after January 1st 2020.
- Thread starter
- #7
Kenneth Busch
Expert
- 35
Hi Allen,
Yes I should have been a bit more specific. This particular case is non spousal, and the funds are coming from a TSP. To complicate matters, the man is 84. It was unfortunately his son's retirement account who passed away May of 2020.
- 4,567
That is a bit sad. Has the father already processed the claim. Because of the father's advanced age, if he doesn't need the money, it might be a decent idea to have him consider disclaiming the proceeds & letting it flow to the next beneficiaries. At 84, decent chance the money could he lost if he received it to pay for LTC costs. Also, at 84 he very well could be in a much lower tax bracket, but could have his SS checks taxed at a higher rate with the IRA income & could cause him to pay way higher medicare premiums while getting the IRA income. Even if dad accepts the money, he could take it as a lump sum & pay taxes I'm a known tax rate today compared to likely higher tax rates in near future. Sometimes better for a senior to plop the taxable amounts in 1 or a few years rather than exposing every year for 10 yrs of Social Security & Medicare premiums each & every year to taxes & high income penalty premiums.
What about inherited IRA's when the date of death was before 2020? Any issues with carriers in those cases?
Andrea Whittaker
New Member
I know there are a couple other carrier options, it just all depends on when the policy owner passed away. I would be happy to help find a carrier to fit the needs of this case.
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