IRA Beneficiary

Financial Planning - Financial planning in general. (Moderated) 

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Subject Author Date IRA Beneficiary HW \"Skip\" Weldon 11-30-2007  Re: IRA Beneficiary joetaxpayer 11-30-2007  Re: IRA Beneficiary HW \"Skip\" Wel... 11-30-2007
Posted by HW \"Skip\" Weldon on November 30, 2007, 5:26 am I'm going to check later today, but meanwhile does anyone know if the IRC permits a qualified charity to be primary beneficiary of an IRA? -HW "Skip" Weldon Columbia, SC Posted by joetaxpayer on November 30, 2007, 8:06 am HW "Skip" Weldon wrote: > I'm going to check later today, but meanwhile does anyone know if the > IRC permits a qualified charity to be primary beneficiary of an IRA? > > -HW "Skip" Weldon > Columbia, SC As I understand it, if they are the 100% primary beneficiary, there is no issue. It's when they are 50/50 with a regular person that the person's stretch option may be affected. That aside, the answer is 'yes'. Also, leaving the IRA to a trust can turn into a mess, too many opportunities for things to go wrong. JOE Posted by HW \"Skip\" Weldon on November 30, 2007, 9:03 am On Fri, 30 Nov 2007 07:06:27 -0600, joetaxpayer >> I'm going to check later today, but meanwhile does anyone know if the >> IRC permits a qualified charity to be primary beneficiary of an IRA? >As I understand it, if they are the 100% primary beneficiary, there is >no issue. It's when they are 50/50 with a regular person that the >person's stretch option may be affected. That aside, the answer is >'yes'. Also, leaving the IRA to a trust can turn into a mess, too many >opportunities for things to go wrong. Thanks for the response. I asked (and just confirmed that you were, as usual, correct) because a major 401k in my area just told a client they could not name charities as beneficiary. My guess is that this is like some other things in that the IRC allows charitable beneficiaries, but does not mandate that plans recognize them. The solution will be to roll to an IRA who does allow charitable beneficiaries, which will be done today <grin>. -HW "Skip" Weldon Columbia, SC Similar Threads Posted Non-spouse 401(k) beneficiary May 16, 2007, 9:24 pm tax consequences for changing 529 beneficiary October 29, 2006, 10:00 am Minor child as beneficiary November 6, 2006, 5:14 pm Pension: Spouse/beneficiary February 13, 2007, 4:56 am Life Insurance Beneficiary November 3, 2007, 6:55 am Beneficiary IRA rolled over to 401(k) rollover July 26, 2008, 10:14 am Savings Bonds Beneficiary Question October 6, 2006, 5:03 am Non-qualified Annuity Beneficiary Designation October 2, 2007, 5:05 pm