Congress is considering doing away with the ability to stretch IRAs for non-spouse beneficiaries, if the accounts hold more than $450,000.
This proposal has passed in the Senate Finance Committee, since it is expected to raise federal revenue by a substantial amount. If this passes and becomes law, then estate plans will need to be revisited.
This idea is not yet currently law.
However, people who use IRAs as an important part of their estate plans would be advised to keep an eye on this issue and to start thinking about alternatives for their estate plans.
