No Need to Be Scared of Inherited IRAs

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By Jennifer Bassett, QKA, CISP, CIP

Does your organization offer inherited IRAs (sometimes called “beneficiary IRAs”)? If not, have you turned away potential clients because you don’t want to maintain inherited IRAs? We all know that managing inherited IRAs can be difficult and the related rules are complex, but inherited IRAs are a great way to increase your deposit base. With interest rates going up, more clients may be looking for new deposit investments.

 Still not sure if your organization is ready for inherited IRAs? These statistics may change your mind.

  •  In 2018, Ascensus processed death claims on IRAs, ESAs, and HSAs totaling over $468 million in assets.

  • During the last five years, the number of inherited IRAs in our Fully-Administered Program has doubled to over 19,000.

  • The average account balance inherited by beneficiaries is $30,000.

Simpler Administration

Don’t turn away clients out of fear. Let Ascensus take away the difficulty or complexity by helping you maintain inherited IRAs through our IRAdirect® Fully-Administered Program.

IRAdirect creates a faster, simpler administration program by eliminating paper forms and offering compliance logic that catches errors and verifies the accuracy of your tax reporting forms.

IRAdirect’s new Death Notice Wizard allows beneficiaries to elect how they want to receive payments when the claim is submitted. Clients can also scan and attach paperwork to the claim to make it easier to exchange information with the Ascensus claims team.

 Visit our website to learn more about the Death Notice Wizard and IRAdirect.

  

IRAdirect® is a registered trademark of Ascensus, LLC.

 
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