Individual Retirement Accounts

Course Description:

Individual Retirement Accounts examines the rules governing traditional and Roth IRAs, Education IRAs (now called Coverdell Education Savings Accounts), simplified employee pensions and SIMPLEs. With respect to traditional IRAs, the course considers the issues of eligibility, contribution limits and investment vehicles. Tax treatment of traditional IRA funds is discussed, including the treatment of contributions, accumulations, transfers and distributions. The premature distribution penalties and its exceptions are addressed. Roth IRAs, created by TRA’97, are discussed, including eligibility, contribution limits and distributions. Conversions from traditional to Roth IRAs are examined and the tax consequences discussed.

Learning Objectives:

Upon successful completion of this course, participants will be able to:

·         Discuss the rules governing eligibility and permitted contribution levels for traditional and Roth IRAs 

·         Explain the tax treatment of contributions to and distributions from traditional and Roth IRAs.

·        Describe the benefits of tax-deferred accumulation.

·         Explain the rules concerning permitted IRA investments.

·         Discuss traditional and Roth IRA distribution rules.

·         Explain Coverdell Education Savings Account contribution and distribution rules and their tax implications.

·         Discuss the contribution and distribution rules that apply to SEP IRAs and SIMPLE IRAs.