Newspaper Page Text
Facts to know when you inherit your spouse’s IRA
If you are inheriting your
spouse’s IRA, you probably
have many issues. Often you
are expected to make decisions
that are overwhelming when
you are still dealing with feel
ings of grief and loss.
At Wachovia Securities, we
understand your concerns and
will strive to assist you in your
financial decisions with
patience and compassion.
If you have been named as
the beneficiary of your spouse's
IRA, there are a number of
things you need to know.
Traditional IRAs offer you
the opportunity to build wealth
on a tax-deferred basis. The
Roth IRA offers an opportunity
for compounded growth with
income-tax free distributions in
most cases. For most investors,
the goal is to allow these
accounts to compound as long
as possible without taking with
drawals.
IRAs have several unique
features that you'll want to
understand before making a
decision about your inherited
account:
• Lump sum distribution.
First, whatever your spouse's
age. you have the option of tak
ing a lump-sum distribution
from the IRA. If this option is
chosen, you will pay any feder
al and possibly state income
taxes due. at your rate, in the
year the distribution is taken.
• Decedent IRA The sec
ond option you have is to retitle
your spouse's account as a
"Decedent IRA.” This option
may be best for those who will
need to take withdrawals from
the IRA and are younger than
59-1/2. The Decedent IRA
allows you to access funds at
your younger age. exempting
you from the 10 percent early
distribution penalty, as any
withdrawals will be considered
a death distribution.
With the Decedent account,
if you have a Traditional IRA,
V AST AST f
I‘cWTh
y
«| 2024 Atlanta Highway 1*
fl bMBSSm Cumm ' n S/ Georgia 30040 ) C V
♦* 770-889-7503 *|
x. Please join us in celebrating our 10th anniversary of serving J#
b the transportation needs of Forsyth and Dawson Counties on P
foj, March 27, 2004 from 9:OOAM to 6:OOPM. .J
We've planned a fun filled day including: Music, Balloons,
and Great Deals!!! A Free Gift for each person! \j / U
wWluvTv
z/ & >3 W
A Iha-A
li .MOM $
) E Phone 770-889-7503 ‘wr-""" 1 I JSBMI /
<>♦ I Fax 678-947-0646 W' <
Email pstripland@adelphia.net
4 ist .
BUSINESS & INDUSTRY
market in brief stocks of local interest
At the close of Sign Stock Last Change
March 19, 2004 ATG AGL Resources 28.51 +0.04
<nn BLS BellSouth Corp. 27.22 -0.20
DOW -109.18 DELL Dell Computer 32.87 -0.55
DAL Delta Air Lines 7.46 -0.19
F Ford Motor Company 13.06 -0.26
GM General Motors 45.10 -1.24
HD Home Depot 36.68 -0.31
INTC Intel Corp. 26.40 -0.80
KO Coca-Cola Company 48.78 -0.26
MCD McDonalds Corp. 28.10 +O.OB
S&p 500 -12 58 MSFT Microsoft 24.60 -0.29
PEP Pepsico Inc. 50.93 -0.49
RF Regions Financial 36.16 -0.44
• Volume: SFA Scientific Atlanta 31.23 -0.20
1,109.74 SGMS Scientific Games 17.35 -0.45
SO Southern Company 30.16 -0.30
T AT&T 19.65 +0.07
TSN Tyson Foods 17.99 +0.64
UPS United Parcel Service 68.92 -0.82
NAdOAO 91 Q7 WB Wachovia Corp. 46.95 -0.78
HMOUKU -£1.3/ WMT Wa |. Mart Stores j nc 58 60 034
Volume . John M. Weaver
1.940.47 Senior Vice President, Investment Officer
2, c u D X% a A Sl ' Wachovia
(678)455-0016 SECURITIES
you may take required mini
mum distributions from that
IRA based on the IRS single
expectancy table factor for your
attained age each year.
This results in decreased
tax-deferral opportunities but
may be useful for some families
needing a regular income
stream. Under this option, the
withdrawals must begin by Dec.
31 of the year follow ing the
year of your spouse’s death.
For those surviving spouses
who don't need regular income,
choosing the Decedent IRA will
allow you to postpone annual
required minimum distribu
tions.
If you are the sole primary
beneficiary of your spouse’s
IRA, you can postpone required
distributions until the year when
the IRA owner would have
reached age 70-1/2. Prior to
that time, you may take distri
butions from the Decedent IRA
in any amount and at any time.
You will pay all income
taxes owed, but will be exempt
from the 10 percent pre-59-1/2
penalty. After you reach age 59-
1/2, you will likely want to
rollover the IRA to your own.
The Rollover IRA rules would
then apply.
• Rollover IRA. If you are
over 59-1/2 or if you do not
want the flexibility offered with
the Decedent IRA, you may
find that a spousal rollover to an
IRA in your own name will
work best for you. This option
allows you to delay any
required minimum distributions
I FORSYTH COUNTY NEWS - SuncUy, March 21,2004 -
until you turn 70-1/2. At that
time, your distributions will be
calculated using the IRS
Uniform Table. This usually
minimizes the amount you will
need to withdraw, leaving more
in your IRA to compound tax
deferred.
When making decisions
about your inherited IRA,
understand your options and to
complete any necessary paper
work.
You should also name your
own beneficiaries for your
Decedent IRA or your Rollover.
This will help you stretch out
your IRA assets for maximum
benefit to your family.
This column is produced by
the Financial Planning
Association, the membership
organization for the financial
planning community, and is
provided by John M. Weaver, Sr.
Vice President-Investment
Officer, Murphy Office Center,
2io Dahlonega St., Suite 103-A,
Cumming, GA. with Wachovia
Securities, LLC, member NYSE
and SIPC. and a broker/dealer
member in good standing of the
FPA. Call John Weaver at 678-
455-0016.
Wachovia Securities does
not provide tax or legal advice.
Please consult with your
own tax and legal advisors
before taking any action that
would have tax consequences.
Insurance products are
available through insurance
subsidiaries of Wachovia
Corporation and other under
writers. Not available in all
states.
Wachovia Securities is the
trade name used by two sepa
rate. registered broker-dealers
and non-bank affiliates of
Wachovia Corpora-tion provid
ing certain retail securities bro
kerage services: Wachovia
Securities, LLC, member
NYSE/SIPC, and Wachovia
Securities Financial Network,
LLC. member NASD/SIPC.
Business notes
Steve D. Voshall
... has earned membership
in the Million Dollar
Roundtable (MDRT), the pre
mier association of financial
professionals, for the fourth
consecutive year.
Voshall, CLU, ChFC, is
president of Financial Benefit
Group in Cumming.
Achieving membership in
MDRT is a distinguishing
career milestone, attained only
by those who have demonstrat
ed exceptional professional
knowledge, expertise and
client service.
Voshall also is a financial
planner with ESI Financial
Advisors, which is a
Registered Investment Advisor.
He is a Registered
Representative with Equity
Services Inc., a Chartered
Financial Consultant (ChFC),
and a Chartered Life
Underwriter (CLU).
He is a graduate of the
University of Georgia with a
bachelor’s degree in business
adminstration in risk manage
ment and insurance with a con
centration in estate planning.
Voshall is a member of the
South Forsyth Rotary Club,
board member of the Forsyth
County United Way, and is a
member of the the Atlanta
Estate Planning Council Inc.
Sugar Plum Cottage
... has opened in Cumming
at 422 Pirkle Ferry Road, off
exit 15 of Ga. 400.
The new business offers a
wide variety of children’s spe
cial occasion and casual cloth
ing for boys up to size 7 and
girls up to size 6x, as well as
baby shower gifts, children’s
room decor, nursery bedding,
and personalized Mommy
bracelets.
Owners are Amy Bramblett
and Melanie Harper.
For more information, call
(770) 889-8699.
PAGE 7A