Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
3,589,202,271 visitors served.
forum Join the Word of the Day Mailing List For webmasters
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Stretch IRA

    0.01 sec.
Stretch IRA
An IRA designed to keep making payments to the heirs of the annuitant even after the annuitant dies. A stretch IRA is advantageous because it allows the annuitant to provide for his/her relatives without incurring the estate tax. See also: Stretch annuity.

stretch IRA
An individual retirement account in which the period of tax-deferred earnings within the IRA stretches beyond the lifetime of the person who set up the IRA. Stretch IRAs can result in huge accumulations and payouts depending on the assumptions regarding the rate of return that will be earned and the length of time funds are to accumulate.


How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Feedback
Add definition
Mentioned in?  References in periodicals archive?   Financial browser?   Full browser?
No references found
 
Topics include: earned income, IRA deductions and distributions, self- directed and stretch IRAs, excess contributions, vesting rules for 401(k)s, transfers, health savings accounts, and unmarried and same- sex couples.
Stretch IRA Calculator--analyzes the estate and income tax impact of a client's IRA at death.
Caution: When implementing the stretch IRA strategy, clients should keep in mind that amounts not deposited into an IRA by the applicable 60-day deadline generally are taxable as a distribution and are potentially subject to the 10% penalty applicable to distributions received by taxpayers who have not attained age 591/2 at the time of the distribution.
 
 
 
Financial Dictionary
?

Terms of Use | Privacy policy | Feedback | Copyright © 2012 Farlex, Inc.
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.