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Stretching IRA Proceeds (on the death of the second spouse)

My wife and I just completed an estate plan including a Living Trust. Our IRA assets were funded with benificiaries shown as:

  1. the surviving spouse
  2. our sons lifetime trust - equal shares
  3. our Trust if neither of our sons survives us

Question 1: when the second spouse dies, does this funding allow the proceeds to be "stretched" by our sons? If not, how should the IRA assets been funded in our Trust? Question 2: Do 403b funds fall under similar rules as IRA's or do they need to be rolled over to an IRA so the proceeds can be stretched on the death of the secodn spouse? Question 3: If my wife and I die in the same accident, how does that affect this situation, if at all?

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Reply to
bogyhi
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If you will go to Tax Man http://wwwtaxman.blogspot thereare some explanations of several rules affecting RequiredMinimum Withdrawals, including situations where a person hasboth a 403B Plan and an IRA. There is also a discussion ofInherited IRAs. I believe these will answer some of yourquestions. I don't think a brief answer on this messageboard is likely to address all of your concerns. If youwill read the messages at Tax Man, you might be able toshorten your list of questions.

Reply to
Shagnasty

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