This past week, we offered up another Care Solutions University. One part of the discussion was the Asset Care opportunity that the SECURE Act presents for clients inheriting IRAs. As you will recall, the SECURE Act put in place a requirement to withdraw the full balance within 10 years from inherited non-spousal IRAs. And, ONLY OneAmerica offers a turn-key product strategy to execute that requirement.
We walked through the turn-key strategy called Annuity Funded Whole Life (Asset Care) in past releases of Fridays with Fisher and in the February Coffee Break. If you need a reminder of what we discussed, go to FridayswithFisher.com and check out the idea library.
I want to dive a little deeper in some mechanical things about moving a non-spousal inherited IRA into our turn-key Annuity Funded Whole Life Asset Care (AWFL) strategy.
What I am about to share with you came as a result of a conversation that I had with our Advanced Sales team specifically focused on this question …
How can a client who inherits proceeds from an IRA (and is not the spouse) move that money into the turn-key Annuity Funded Whole Life Asset Care (AWFL) strategy?
For non-spousal beneficiaries, they could either have it transferred directly to OneAmerica by trustee-to-trustee transfer OR they could open an inherited IRA and then have it transferred by trustee-to-trustee transfer.
Remember, The 10% penalty tax for early withdrawals would not apply. But keep in mind, non-spousal beneficiaries have to drain the account fully by the end of the 10th year following the year that the owner died. So if they wait for any length of time before transferring it to OneAmerica, we may not be able to take it because it must have 10 full years of withdrawals available for Annuity Funded Whole Life Asset Care (AWFL).
Of course, this is a high-level overview for a non-spousal inherited IRA. Each client’s situation may differ and we always recommend that they speak with their tax advisor to discuss their specific situation.
One other note, you do have access to our advanced sales team. To access them, please contact either Justin Fox or me and we will help you along your way.
As always, thanks for taking time for me.
Questions about OneAmerica and all of the long term care solutions that are offered? Contact either my internal Justin Fox or me.
The October edition of Coffee Break features a few ideas. In it, Elaine shares a quick hit idea for working with a great referral source – CPAs; Niki talks about client programs, and Jen shares an annuity idea. Please, take a few minutes and check it out.
Fridays with Fisher 
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