Cost of liquidating ira
Regulators had always contemplated IRAs as being supplemental savings vehicles."The market has focused on the growth of 401(k)s and the fees, but what has been kind of overlooked is the IRA rollover market," Vitagliano said.You've likely heard the complaint: Retirement plan fees are too high and are cutting into your long-term investment returns.Even if you haven't heard it directly from Jack Bogle—and didn't see the "Frontline" examination in which the Vanguard Group founder was featured lambasting the 401(k) industry for fee-gouging—you've probably been convinced somewhere along the way that 401(k) fees are excessive.Francis Vitagliano, research consultant at Boston College's Center for Retirement Research, began studying the retirement industry when the Employee Retirement Income Security Act (ERISA) was made law.At the time, he said, no one thought that most retirement assets would end up in IRAs.
The stepped-up value is the fair market value, as opposed to the original cost of the asset.
NEW YORK (CNNfn) - Let's say you inherited some stock, and you've heard something about a tax break when you sell the shares.
There are many important issues when it comes to inherited stock, especially the step-up in basis rules.
Many assets, including inherited IRAs, do NOT receive such treatment.
Now, I'd like to go a step further and talk about what happens when you inherit stock that's been in a 401(k).