Archive | April, 2015

The ABLE Act: Helping Disabled Americans Save for the Future

Late last year President Obama signed into law legislation aimed at giving disabled Americans and their families the opportunity to save for education and other related expenses in a tax-friendly vehicle without jeopardizing their federal benefits. What ABLE Offers Modeled after 529 college savings plans, money invested in “Achieving a Better Life Experience” (ABLE) accounts […]

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Washington Hotline – April 28 2015

WASHINGTON NEWS IRS ‘Courtesy Disconnect’ Hearing During the recent filing season for 2014 tax returns, IRS Commissioner John Koskinen reported a substantial reduction in IRS phone support. Because of IRS staff reductions, many taxpayers were not able to have questions answered. If the anticipated waiting time was deemed too long by the IRS, there would […]

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The IRS Clarifies Rules on Rollovers of Retirement Plan Monies

After years of ambiguity around what is and is not allowed regarding the disbursement of after-tax contributions to an employer-sponsored retirement plan, the IRS ruled in September of 2014 that plan participants can roll those dollars into a Roth IRA tax free. IRS Notice 2014-54, Guidance on Allocation of After-Tax Amounts to Rollovers, “provides rules for […]

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What Is a Stretch IRA?

A stretch IRA is a traditional IRA that passes from the account owner to a younger beneficiary at the time of the account owner’s death. Since the younger beneficiary has a longer life expectancy than the original IRA owner, he or she will be able to “stretch” the life of the IRA by receiving smaller […]

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