Use a stretch IRA to go the distance

Description

Abstract: People who don’t need their retirement accounts for retirement might want to tax-efficiently pass wealth to their heirs through a stretch IRA. This article explains that a regular or Roth IRA can be turned into a stretch IRA by designating a beneficiary who is significantly younger, so that funds have more time to grow tax-deferred. To keep the recipient from opting for a lump-sum distribution, which would erase any potential stretch IRA benefits, it’s possible to name a trust as beneficiary.