09/01/2026
Your trust could reach the 37% federal tax bracket at just $16,000 of taxable income.
That gets attention. And it should.
But it does not mean your trust is wrong—or that you should rush to remove it as the beneficiary of your IRA.
For many Northern Kentucky and Cincinnati families, a trust may be doing an important job: helping protect an inheritance from a divorce, creditor problems, a lawsuit, addiction, or a time when a loved one simply is not ready to manage a large sum of money outright.
The problem is that many IRA beneficiary forms were completed years ago, before the SECURE Act changed inherited IRA rules for most non-spouse beneficiaries.
Your IRA, trust, beneficiary designation, and family goals need to tell the same story.
Our newest blog explains:
- Why trusts reach higher tax brackets so quickly
- How the SECURE Act changed inherited IRA planning
- Why an old beneficiary form can derail a carefully prepared estate plan
- What to review before making a change based on taxes alone
The best plan is not always the one with the lowest tax bill. It is the one that protects the people you love and supports the legacy you want to leave.
Read the article here: https://freedomlawservices.com/post/ira-trust-beneficiary-tax-bracket-secure-act/
If your estate plan was created before 2020, your IRA has grown, or your trust is named as beneficiary, this is a good time for a review.
Schedule a complimentary 15-minute discovery call: https://freedomlawservices.com/call-today