The non-tax thing to consider is how that account fits into your overall AA. I would want to put the slowest-growing investments in that account, and adjust the other accounts as the withdrawals/RMDs occur. Reducing the growth rate in the account will reduce the overall tax cost.
For example, if you have a cash allocation, put that in the inherited IRA then make changes as needed after each RMD. Use the RMD to fund other savings. Take advantage of any remaining tax-sheltered options that you have left.
No cash? What about short-term bonds? In general, the last thing you want in that account is a high-growth equity investment.
For example, if you have a cash allocation, put that in the inherited IRA then make changes as needed after each RMD. Use the RMD to fund other savings. Take advantage of any remaining tax-sheltered options that you have left.
No cash? What about short-term bonds? In general, the last thing you want in that account is a high-growth equity investment.
Statistics: Posted by GAAP — Wed Aug 14, 2024 12:29 pm — Replies 5 — Views 224