This content was created by Craig Wear, CFP®. This content was uploaded by Craig Wear, CFP®. This is a YouTube video titled "Lower the tax burden on your heirs" created on January 8, 2025, featuring Craig Wear, CFP® discussing estate planning strategies, specifically focusing on the benefits of converting to a Roth IRA to reduce tax burdens for heirs under the Secure Act of 2019.
Number three, it'll allow you to lower your tax burden for your heirs. Especially with the Secure act that came through in 2019. It's going to require your non spouse beneficiaries to empty those inherited retirement accounts, including IRAS and Roth IRAS, within 10 years of your original owner death. So while the rule applies to both traditional IRAs and Roths, the cool thing is a Roth IRA is much more advantageous for them because the distributions are tax free. So the estate planning strategy here is if your heirs are likely to inherit during their peak earning years, converting to a Roth means that they're not going to face those additional taxable income from forced distributions from those RMDs.
