If you are planning to leave your individual retirement account (IRA) to your kids or you are getting ready to inherit an IRA from a relative, you need to understand the inherited IRA rules to save them money on taxes. Otherwise, one wrong move could cost you or your heirs a ton of cash and turn your gift into somewhat of a financial burden. Your goal is to pass along as much of the account as you can to your heirs, so you’ll want to set them up to pay as little in taxes as possible. The best part of an IRA (like a 401k) is that it is a long-term tax shelter. This means that all the money you put into the account grows on a tax-deferred … [Read more...]