Compliance Question of the Week

How should I title an inherited IRA?

An inherited IRA should be titled as follows:

Jane Doe, Deceased (date of death) IRA F/B/O (for benefit of) Jack Lee Doe, Beneficiary.

When setting up an inherited IRA, Jack Lee will also want to fill out another beneficiary card, just in case. If this IRA were to pass on to a sub-beneficiary when Jack Lee passed away, you would then title the account showing the transfer to the second beneficiary as follows:

Jane Doe, Deceased (date of death) IRA F/B/O (for benefit of) Jimmie Junior Doe, Beneficiary.

 

Questions? Contact the Compliance Hotline: 1.800.546.4465, compliance@nwcua.org.

Posted in Compliance.