Articles — Ascensus

IRS Publications Resource List

IRA, Employer PlanAscensusMay 19, 2022IRS, IRA, Qualified Retirement Plan, Retirement Plan

IRS Releases Revised 2021 Publication 590-B

The IRS issued in late April a revised 2021 Publication 590-B, Distributions from Individual Retirement Arrangements (IRAs).

AscensusMay 19, 2022

IRA Bankruptcy Exemption Increases

Effective April 1, 2022, the maximum aggregate bankruptcy exemption amount for IRAs increased from $1,362,800 to $1,512,350.

IRA, News BriefAscensusMay 19, 2022IRA, Traditional IRA, Roth IRA

Beneficiaries May See Changes With New '10-Year Rule'

When the IRS released its highly anticipated proposed regulations related to required minimum distributions (RMDs) in late February, the 275-page document included a new interpretation of the 10-year rule for certain IRA and retirement plan beneficiaries.

IRAAscensusApril 21, 2022Compliance & Operations, IRA, IRS, Beneficiary, Distribution, Required Minimum Distributions

Is Your IRA Program Ready for an IRS Audit?

Maintaining a compliant IRA program can feel like a moving target for many financial organizations. Even if you feel confident in the checks and balances built into your daily IRA operations, mistakes happen. These errors can become costly, especially if the IRS comes calling with an audit.

IRAAscensusApril 21, 2022Compliance & Operations, IRA, Reporting, Distribution, Withholding

U.S. House Passes Significant Retirement Bill

The U.S. House of Representatives passed the Securing a Strong Retirement Act of 2022 (SSRA) by a 414-5 vote on March 29, 2022. H.R. 2954 (also commonly referred to as “SECURE 2.0”) contains over 50 retirement plan provisions—nearly double the number as the original Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019.

AscensusApril 21, 2022

Qualified vs. Nonqualified Roth IRA Distributions

For earnings in a Roth IRA to be tax-free, a distribution must be “qualified.” Find out the differences between qualified and nonqualified Roth IRA distributions.

IRA, expertAscensusApril 21, 2022Compliance & Operations, IRA, Roth IRA, Distribution, Q&A

IRS Corrections: Self-Correction vs. Voluntary Correction

There are three main types of correction programs under the IRS, collectively referred to as the Employee Plans Compliance Resolution System (EPCRS). These include the Self-Correction Program (SCP), Voluntary Correction Program (VCP), and Correction on Audit Program (Audit CAP).

IRS Issues Deadline Relief for Puerto Rico for Severe Storms

The IRS issued a news release on April 1, 2022, announcing the postponement of certain tax-related deadlines for victims of severe storms, flooding, and landslides in Puerto Rico.

IRA, Employer PlanAscensusApril 21, 2022IRS, Compliance & Operations, IRA, Retirement Plan

IRS Releases Proposed Required Minimum Distribution Regulations

We have guidance regarding certain changes brought about by the SECURE Act. On February 23, 2022, the IRS released proposed regulations that revise the existing required minimum distribution (RMD) regulations and other related regulations.

What You Should Do When an IRA Beneficiary Rejects the Inherited Assets

While most of your IRA beneficiaries will appreciate that they have inherited an IRA from a friend or loved one, others may be less than thrilled at the news. As an IRA administrator, you should know that everyone has the right to refuse an inheritance, including an IRA.

IRAAscensusMarch 17, 2022Compliance & Operations, IRA, Beneficiary, Distribution

Why Separate Accounting Is Essential After an IRA Owner Passes Away

Handling beneficiary distributions is one of the most complex facets of administering IRAs. Separating beneficiary assets as soon as you are notified of an IRA owner’s death may help your financial organization not only ensure that beneficiaries preserve their options but also stay compliant with year-of-death reporting requirements.

It’s Time to Remind Clients Why They Should Have an HSA

HSAs are IRA-like accounts that are tax-favored and designed to cover medical expenses incurred by the HSA owner, the HSA owner’s spouse, and his dependents. So—how can HSAs help your clients?

HSAAscensusMarch 17, 2022Compliance & Operations, HSA

Answering Your Clients’ Tricky Tax Reporting Questions

As your clients prepare their tax returns, you may find yourself receiving a barrage of tax reporting questions. Hopefully, here are the answers to some of your challenging questions during tax season.

Qualified Retirement Plans: What is a Protected Benefit?

Plan sponsors should evaluate their plans for protected benefits when they make a discretionary amendment or when there is an acquisition or merger of plans.

DOL Final Rule on SECURE Act Group of Plan Reporting at OMB

Final regulations entitled, Implement SECURE Act and Related Revisions to Employee Benefit Plan Annual Reporting on the Form 5500, issued by the Department of Labor’s Employee Benefits Security Administration (EBSA), have been received by the federal Office of Management and Budget (OMB).

IRS Issues Temporary Suspension of Prototype IRA Opinion Letter Program

The Internal Revenue Service (IRS) has issued Announcement 2022-6, providing that effective March 14, 2022, and until further notice, the IRS will not accept applications for opinion letters on prototype IRAs (Traditional, Roth, and SIMPLE IRAs), SEP plans (including salary reduction SEPs (SAR-SEPs)), and SIMPLE IRA plans.

IRAAscensusMarch 17, 2022Compliance & Operations, Traditional IRA, Roth IRA, SEP Plan, SIMPLE IRA Plan, IRS

Top Trending IRA Questions (and Answers) from ERISA Consultants

In 2021, Ascensus’ ERISA consultants fielded approximately 40,000 calls from our clients who subscribe to our 800 Consulting Lines. We asked our experienced IRA consultants what their trending IRA questions were last year and we compiled a list, along with their responses.