Let your IRA Stretch

After Foster's Post this week on impending tax changes now is a good time to talk about a wealth preservation strategy in your IRA that can help your family avoid that dreaded death tax in a sense.

Say you have a Self Directed ROTH IRA that you have designated your children as the primary beneficiaries. That is key #1. By having a self directed Roth IRA in place you have the stretch concept built into your account application. Also, by having a ROTH IRA in place, you and your beneficiaries are going to receive distributions tax free as long as you follow distribution guidelines.The stretch concept allows your beneficiaries including your spouse, your children and your grandchildren to allow your IRA to grow for generations. Imagine an IRA growing for 100 years? Now that is a legacy that we all can be proud of.

A couple other highlights

-Your spouse can utilize the stretch beneficiary designation as well

-You have the flexibility to discontinue your stretch provision at any time

-and of course tax free growth.