With multiple tax-advantaged savings options available, your clients may often wonder where to defer their money when saving for the future. Sure, there’s the 401(k) plan and the IRA, but they shouldn’t forget about the HSA. For clients who have access to all of those, they may need to prioritize where they save to ensure that they get the most from their dollars.
Read MoreCan IRA owners who are age 72 or older and still working offset their required minimum distributions by the amount of IRA contributions they make? Do IRA owners now have to be age 72 or older to take qualified charitable distributions?
Read MoreWhat is an eligible rollover distribution? What are the tax consequences if an eligible rollover distribution is rolled over? Are there any eligible rollover distributions that may be rolled over beyond the 60-day window?
Read MoreThe IRS recently issued a revised 2020 Publication 590-B in which it clarifies its explanation of the 10-year rule beneficiary distribution option.
Read MoreIf your organization allows the use checks or debit cards to withdraw HSA assets, it risks extending credit to the HSA owner, which is a prohibited transaction. Adopting certain policies and procedures may help prevent that from happening, along with the negative tax consequences.
Read MoreWhen the IRS releases new IRA model documents, all IRA trustees, custodians, and issuers will most likely be required to amend to the new model document or to use the new IRS language in their prototype documents. Before that happens, consider reviewing your existing IRA plan agreement to ensure that it still makes sense for your organization.
Read MoreThe IRS recently postponed certain tax-related deadlines for West Virginia and Louisiana victims of severe storms. The tax relief pertains to various tax filing and payment deadlines that occurred starting on February 27 and May 17.
Read MoreWhat is the maximum amount an unmarried couple with family HDHP coverage can contribute to their HSAs? Can a child listed as a dependent for HDHP coverage purposes but not claimed as a tax dependent still use HSA assets to pay medical expenses? How does divorce affect the HSA contribution limit?
Read MoreThe IRS recently issued final regulations regarding the mandatory 60-day postponement of deadlines for certain time-sensitive, tax-related acts in circumstances of federally declared disasters.
Read MoreDoes a married plan participant need to obtain spousal consent when requesting a qualified retirement plan distribution? Do IRAs have the same spousal consent requirements? Do spousal consent requirements apply to plan participants joined in civil unions that aren’t defined as marriage?
Read MoreWhile the latest version of IRS Publication 590-B answered some outstanding questions brought about by the SECURE and CARES Acts, it also sparked some new questions.
Read MoreYou may have clients who ask if they can open an IRA for their minor child. The short answer is yes, their child can have an IRA. There are no minimum age limits on who can own an IRA. But there are some things you’ll need to know before opening an account for a minor.
Read MoreWith the IRS expected to release new IRA model documents soon, you may want to revisit the decision to use either the model document or a prototype document as your required IRA plan agreement. Knowing the difference between the model and prototype, and the pros and cons of both, may help determine which one is best for your organization.
Read MoreThe IRS recently postponed certain tax-related deadlines for Alabama, Kentucky, and Tennessee victims of severe storms. The tax relief postpones various tax filing and payment deadlines that occurred starting on February 27 and March 25.
Read MoreWhat are the different roles commonly seen on a Coverdell ESA application? When can the designated beneficiary of an ESA be changed? When can the responsible individual of an ESA be changed?
Read MoreThe DOL has issued two pieces of guidance on its new fiduciary advice prohibited transaction exemption. The first piece contains a detailed set of FAQs for investment professionals and financial organizations. The second piece is written for retirement investors. Here are the main takeaways from this latest round of guidance.
Read MoreThe DOL has withdrawn the independent contractor rule that was scheduled to take effect on May 7, 2021.
Read MoreWhat is a summary plan description? When must it be given and to whom? Can it be delivered electronically? What are the consequences of not providing one?
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