Retirement Planning

What percentage of my income should I be saving for retirement? 

Answer: A general rule of thumb is to try to save 15% of your gross income. This percentage could change depending on how old you are when you start saving, but the earlier that you start the easier it will be to get to your retirement goal.

What is the best way to handle the retirement accounts that I recently inherited? 

Answer: Typically, it is best to set up a Beneficiary IRA which will allow you to “stretch” out the withdrawals that the IRS will require you to take. In order to “stretch” out the payments, you have to make the election by December 31st of the year following the date of death. If you don’t make this election in time, you will have to withdraw the entire retirement account within 5 years of the date of death and in doing so, you will have to pay income tax on all of the withdrawals.