Retirement FAQs

  1. If I don't have any kids and want to leave all of my worldly possessions to my dog, how would I do it?

  2. How do I list the beneficiaries of my life insurance policies if I have a trust?

  3. Are 401(k) loans taxed?

  4. What pension benefits are available to military personnel?

  5. What should you do when you're five years from retiring?

  6. What are the differences between a 401K and an IRA?

  7. How do I retire?

  8. I want to transfer my house title to my child, what are the costs and tax consequences of doing so?

  9. What are Government Pension Offsets, and who is subject to them?

  10. How do you plan for retirement if you have multiple employers? Can you combine retirement plans from multiple employers?

  11. My daughter would like to use some of her Roth IRA to pay for some current tuition fees and loans. Can she do this without a penalty?

  12. I have a 403(b) from a old employer. I would like to convert it to a 401(k). How can I do that?

  13. Our broker switched firms in the middle of 2011. As a result we lost track of our required minimum distribution (RMD) amounts and ended up withdrawing much more than our RMD. Is there a way to defer some of the withdrawal to 2012 to avoid the tax liabilit

  14. What happens during the consolidation phase of an investor's life cycle?

  15. How can I start an IRA for my child?

  16. What is the difference between qualified and non-qualified plans?

  17. Which investment would be most suitable for a client investing for retirement and seeking protection from purchasing power risk in the future?

  18. The reason why ERISA qualified plans should have an investment policy statement is to:

  19. How do 401(k) loans work?

  20. What are the exceptions to the premature withdrawal penalty rules for IRA accounts?

  21. Can I refuse a gift by providing a "Qualified Disclaimer," and what does this entail?

  22. When is it a good idea to use an irrevocable life insurance trust?

  23. I have a profit-sharing plan with my former employer. I am now trying to buy a home. Can I use my profit-sharing money to put a down payment on a house?

  24. What does a "5 by 5" power in a trust document mean?

  25. How does an employer benefit from a 401(k) matching plan?

  26. Why is accidental life insurance so inexpensive?

  27. Should I collect early Social Security?

  28. What is the "stretch IRA" concept?

  29. What are the pros/cons of naming a trust as the beneficiary of a retirement account?

  30. Does it make sense to convert a Traditional IRA to a Roth when the market’s down?

  31. What is the difference between early retirement and full retirement as it applies to Social Security retirement benefits?

  32. All of the following are allowable deductions used in determining taxable estate EXCEPT

  33. If my spouse passes away, will I have to sell my home to meet creditor obligations?

  34. When is the best time to purchase long-term care insurance?

  35. What documents should I have ready in case my partner or I should die?

  36. Which of the following accounts does ERISA cover?

  37. What is the "three-legged stool"?

  38. What is pension maximization?

  39. Is it wise to put an IRA account into a fixed or variable annuity?

  40. Which statement(s) is/are FALSE about market risk?

  41. What is long-term care?

  42. What are activities of daily living (ADL)?

  43. Why should I invest in the market when I can buy and sell houses or cars?

  44. A lot of retirement projections seem to assume an 8% rate of return. Is this realistic?

  45. Should a Canadian citizen who lives and works in the U.S. continue to contribute to a RRSP account?

  46. I overcontributed to my Roth, then lost half of this money to the market. Does the 6% penalty apply to my original contribution, or only what's left of it?

  47. What is cliff vesting?

  48. How do I use a conduit IRA?

  49. Do I still have to pay penalties and taxes on money that I don't roll over from a DROP fund?

  50. We are in a 401(k) at work. Can we also do a Roth each year? If we can, can it also be deducted from our taxes?

  51. Is a person an active participant in an employer-sponsored retirement plan if he or she was only active for a short time?

  52. What are the penalties for withdrawing from my Traditional IRA less than a year after acquisition?

  53. Am I entitled to any of my ex-spouse's retirement plan benefits?

  54. What happens when someone is given the golden boot?

  55. As a temporary resident of the US, can I withdraw funds from my Traditional IRA without penalty when I leave the country?

  56. I am considering taking a loan from my qualified retirement plan. What is the definition of a "reasonable interest rate"?

  57. Is my 403(b) account owned by me or by the institution?

  58. What are the requirements that a trust needs to meet to be qualified?

  59. If I participate in my company’s SIMPLE IRA plan, can I also contribute to another IRA in order to receive a larger tax deduction?

  60. I am making after-tax contributions to an IRA. Will I get taxed again when I withdraw it (when eligible)?

  61. What is the five-year waiting rule for Roth IRAs?

  62. I own a small business. Can the SBO-401(k) work for me?

  63. Will I incur a tax penalty when making withdrawls from my IRA in excess of my SEPP?

  64. How can I reduce the taxes on my inherited retirement assets?

  65. Is there a limit on how much I can move from my IRA to my Roth IRA?

  66. My husband left his ex-wife as his retirement plan beneficiary. Can this be changed?

  67. Why should investors pick less risky investments as they approach retirement?

  68. Can I establish more than one IRA?

  69. My old company offers a 401(k) plan and my new employer only offers a 403(b) plan. Can I roll over the money in the 401(k) plan to this new 403(b) plan?

  70. Are the distribution rules for 401(k) and 403(b) plans the same as those for IRA plans?

  71. When should I take my Canadian Pension Plan distributions?

  72. My certificate of deposit (CD) has just matured and I plan to contribute $10,000 of it to my current Roth IRA account. The person doing my taxes can't tell me why I can't make such a large contribution except for my low income - I am a disabled veteran on

  73. Can I roll over my IRA assets to a sheltered Canadian plan?

  74. I am starting a limited liability company (LLC). I will be the sole member. Can I open an SEP IRA? How much tax-deferred money would I be able to contribute each year?

  75. Is an employee eligible for an SEP if the plan has already been set up for other employees?

  76. Can high-income earners deduct yearly defined-benefit plan contributions of over $100,000?

  77. How do I get credit for my retirement plan contributions?

  78. Can I give stock as a gift?

  79. Can I roll my SEP IRA into a Traditional IRA or should I convert to a Roth?

  80. What is the difference between a ROTH, SEP and Traditional IRA?

  81. Can either a SEP IRA or a SIMPLE IRA be attached in a bankruptcy or malpractice action, or are they safe from any financial judgments like these?

  82. I recently and accidentally established a Roth IRA for my spouse instead of myself and contributed additional monies. What should I do?

  83. If I am entitled according to my divorce decree to a percentage of my ex-husband's IRA, how can I receive the assets due to me into my own IRA without being taxed? Will he be taxed when he makes the transfer? Will the money he may have to pay in taxes the

  84. I am a first-time home buyer. If I take a distribution from my 401(k) to purchase land and a house, will I have to pay a penalty on this distribution? Also, what kind of form will I need to file with my taxes, showing the IRS that $10,000 went toward a ho

  85. My husband has become eligible for a 401(k) plan (with no matching contribution) at work. How do we get back the $9,000 that we already contributed to our IRA for 2005 without a penalty? My husband earns $144,000/year and we're both over 50 years old.

  86. Can I fund a Traditional IRA, a 403(b) or a Roth IRA using pension money? I'm 56 years old. What limits apply if I can?

  87. What are the tax consequences of a Roth IRA distribution if the IRA holder is younger than 59.5?

  88. I am in the second year of taking SEPP distributions from my IRA. Can I transfer some of the funds to a new IRA with different investment options?

  89. What's the difference between a savings account and a Roth IRA?

  90. I'm 70.5 and still working for my own company. Can I defer starting my required minimum distributions?

  91. Can I donate stock to charity?

  92. Health problems caused me to take my RMD after the deadline. Can I appeal my case to the IRS?

  93. What is the difference between a Keogh and an IRA?

  94. Is it possible to reverse an IRA? I received a QDRO and owe money to my ex-husband. Is it possible to reverse the QDRO, which was put into a CD Traditional IRA account, without incurring any type of penalty?

  95. I understand that I can withdraw from a 401k the year I turn 55 without the 10% penalty (IRS 575). Can I do the same thing with an IRA without the 10% penalty?

  96. I will be receiving monies from a QDRO executed pursuant to my divorce. I would like to take a portion of the money as a distribution to pay for a new home. What are the tax implications of doing this?

  97. Does the five-year rule apply if a non-spouse inherits an IRA after the required beginning date and the required minimum distribution is not satisfied in the year of death?

  98. I've heard that workers who don't roll over their 401(k)s after retiring face some problems related to estate planning. I was told it was some type of final 2002 government regulation. Is this true?

  99. I converted a Traditional IRA to a Roth. The conversion was a stock equity with a cost basis of $19,000 in the Traditional IRA. The day of conversion, the value was $34,000. Which amount should the brokerage house use for the 1099-R?

  100. I am retiree, drawing from my 403(b) annuity. I am the sole employee of my own business. Do I qualify for a SIMPLE IRA account? I want to defer some of my income from taxes.

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