Get Individual Retirement Trust Form

You cannot put your individual retirement account (IRA) in a trust while you are living. You can, however, name a trust as the beneficiary of your IRA and dictate how the assets are to be handled after your death.

What if he only wants his spouse to receive funds for her lifetime, and the balance to be distributed to his children? IRA Trusts are an estate planner's solution to this growing problem. An IRA Trust is a trust that one sets up (the “Grantor”) during lifetime to be the named beneficiary of retirement accounts.

Assets that should not be used to fund your living trust include: Qualified retirement accounts – 401ks, IRAs, 403(b)s, qualified annuities. Health saving accounts (HSAs) Medical saving accounts (MSAs) Uniform Transfers to Minors (UTMAs) Uniform Gifts to Minors (UGMAs) Life insurance. Motor vehicles.

Form 5305-R is a model trust account agreement that meets the requirements of section 408A. However, only Articles I through VIII have been reviewed by the IRS. A Roth individual retirement account (Roth IRA) is established after the form is fully executed by both the individual (grantor) and the trustee.

IRS Form 5305-SIMPLE, Savings Incentive Match Plan for Employees of Small Employers (SIMPLE) - for Use with a Designated Financial Institution, if you require that all contributions under the SIMPLE IRA plan be initially deposited with a designated financial institution.

By naming a non-qualifying Trust as your IRA beneficiary you will lose the stretch payout to spouse and children over their life expectancies. Retirement benefits left to the Trust will be taxed sooner and at a higher rate (most likely) than if the benefits had been paid directly to the spouse or children.

Retirement accounts like an IRA, Roth IRA, 401K, 403b, 457 and the like don't belong in your trust. Placing any of these assets in your trust would mean that you're taking them out of your name to retitle them in the name of your trust. The impact this will have on your taxes can be disastrous.