This assists those who made an inappropriate selection in the past. Non-spouse beneficiaries can receive distributions from an inherited IRA gradually over the beneficiary's life expectancy, rather than receiving all of the money within five years of the account owner's death or at the same rate the account owner was receiving distributions. Under the old rules, while spouses could spread inherited IRA distributions over their lifetimes, this was not always allowed for children and others who inherited IRAs. Under the new rules, children and others can now usually spread the distributions over their life expectancy, minimizing income tax on those distributions. We encourage you to consult with your tax advisor before making any changes, but for many, this is good news .
Life expectancies continue to increase.
Currently 65-year old males have a life expectancy of 15.9 years, which is predicted to increase to 17.5 years by the year 2030. So, younger workers should plan to accumulate a larger nest egg to assure financial security. The ratio of workers to beneficiaries under the Social Security system continues to decline. So, the ratio of workers to all social security recipients will fall from today's ratio of 3.4 to a ratio of 2.3 to 1 in 2025. An increasing number of individuals will be subject to tax on their social security benefits .