Gifts of Retirement Assets

Retirement plans have become the largest asset in the portfolio of most families, surpassing even the family home. This represents a significant problem upon your death.

Retirement plans were not meant to be inheritance plans for your children. When Individual Retirement Accounts and other plans are left to heirs through your estate, they are subject to multiple layers of taxation which, in turn, reduce the benefits to your family members to as little as 30 cents on the dollar.

If you have a charitable intent, it is prudent to consider designating either a portion, or all, of the funds in a qualified retirement plan as the estate assets to use for your charitable bequest. It is often better to transfer cash, stock or land to children and give your IRA or pension plan to SDSU.