Why Your Retirement Is at Risk
Nationally recognized IRA expert Ed Slott argues when it comes to saving for retirement, the biggest mistake made involves taxes.
He told FOX Business Network’s Sandra Smith, “When you lose your retirement savings to taxes -- your never getting that money back… There [are] rulings that are constantly coming out and you better hope if you have a financial advisor -- they’re up to date on these things -- and most are not. I would say 99 percent.”
Slott says one of the risks associated with retirement involves rollover changes when switching jobs.
“What you should be doing, when moving from an IRA to an IRA, or a Roth IRA to a Roth IRA -- is move it directly without you touching the money in between. That’s when it’s at risk -- because you do that twice in a year, your entire retirement account becomes taxable and it doesn’t exist anymore,” he said.
He also explained inherited IRAs can become exposed.
“At death it moves to another individual, a beneficiary -- and if properly titled inherited IRAs are not set up -- that money is taxed -- a fatal error,” he said.