New Roth IRA Strategy


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We just finished the Advanced Pre-emptive Tax Strategy Workshop in San Diego on a high note. It was the first time that I’ve ever given (or presented at) a seminar where 100% of the attendees loved it. In fact, I heard from at least 3 people that it was the very best seminar they’d ever been to. It was the people that made all the difference. A fun-loving, dedicated, smart crowd of already established do-ers who were happy to share their personal wealth-building strategies took everything to a level I’ve never seen before.

Over the next few weeks I’m going to be posting some of the interesting, easy to implement strategies that we learned. The first one has to do with setting up a Roth.

A Roth IRA means tax-free forever. There are two problems, though, with the current Roth tax rules.

(1) If you make too much money you can’t have one.

(2) You have to wait until you’re 59 ½ to take the money out tax-free.

Here’s the loophole! If you inherit an already existing Roth account, it doesn’t matter how much money you make you get one. And if you inherit an already existing Roth account, you can immediately start to take money out of it.

So, if you have elderly friends, family, friends of family or family of friends, how about legally employing them for a few thousand dollars through your business (a tax deduction for you) and then have them set up a Roth account in which you are a beneficiary.

I’m not suggesting cruising nursing homes, but isn’t that an interesting strategy for Baby Boomers with ageing parents? It’s a way to get rolling with a Roth account right away.



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