If you have a Retirement Account in the State of Florida, a recently enacted law will provide your heirs stronger asset protection in Florida.
An individual Retirement Account is a form of retirement savings that provides tax benefits to the owner of the account. The account is primarily used as a means of saving for retirement. When the owner of an Individual Retirement Account dies, the account may be transferred to a named beneficiary. When transferred, it is known as an inherited Individual Retirement Account.
Generally, Florida law provides for protection of various assets from creditors, which protection extends to bankruptcy proceedings. Under the old Florida law, a regular Individual Retirement Account was exempt from creditor claims, but an inherited Individual Retirement Account was not.
However, House Bill 469 proposed to provide inherited Individual Retirement Accounts the same protection from creditors that the original Individual Retirement Account enjoyed. On May 31, 2001, Governor Rick Scott, signed HB 469, effectively making it the new law.
For more information about securing Florida Retirement Accounts and other Florida Estate Planning issues, contact a Jacksonville Estate Planning Lawyer today.