Everyone Can Relax and "Stretchout"
Everyone Can Relax and "Stretchout"
Over the last several years, we have read and heard much about
the "stretchout" IRA. Many IRA holders have painstakingly
learned about the extreme complexities of Required Minimum
Distributions (RMDs) and the ability to provide a stream of
income to their beneficiaries at their death. Planners carefully
outlined the land mines to avoid and prompted IRA holders to ask
their financial firm if they offer "stretchout" IRAs. Well, we
can all relax now, the IRS issued proposed regulations that have
all but eliminated the fear of making bad decisions and
essentially allow a "stretchout" IRA for everyone.
RMD rules state that once a participant reaches the age of 70