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What is an IRA?

Across
passed 12/19/2019, this act changed the RMD age from 70.5 to 72, and lets plan holders contribute qualified funds indefinitely, and inherited IRA holders take RMD's that will empty account in 10 years
this term is specifically for retirement accounts, they have no joint owners, and you must designate a beneficiary. For a traditional account, taxes are not taken until distributions are taken
if this type of beneficiary is designated, a parent or legal guardian must sign withdrawal form as well. The parent is typically the legal guardian automatically in most states
if an IRA holder's spouse does not want to be the beneficiary they must sign a form declaring this action, this is called what?
this is one example of when a client can take an RMD and not be subject to taxes, it requires proof of documentation from a physician, proving the client is unable to engage in any substantial, gainful activity... from physical or mental impairment... to result in death or indefinite duration
deadline for this is October 15th, this is essentially changing one type of IRA to another (i.e. Traditional to ROTH), it is not taxable
the determined amount of taxes to be taken from an RMD
if a client is over 50 they can do this up to $7000 per year, if they are under 50 it is $6000.This action can only be executed with funds that are considered earned income such as, salary, wages, tips, etc. Not rental income or SSI
these can occur between like IRA plan accounts, there can be an unlimited number of this action. Withholding or a 1099 is not required
when a spouse passes away, and the living spouse gains access to deceased spouse's IRA
Down
anyone with earned income can make contributions, but only from earned funds. It means the client is considered this
these distributions require two separate withdrawal forms, and it is up to the client to determine the IRS requirement. They cannot exceed a $100,000 limit each tax year
when CD's aren't mature or a client is 59.5 years or younger and wants to withdraw IRA funds, these can be waived for certain life situations
term used when a client takes their complete RMD from multiple "like" accounts
this is a required action once an IRA holder reaches 59.5, can only be check, internal or external transfer only
Completed by back office IRA team, this action is commonly called a withdrawal. It can only be done via check, internal or external transfer
this is a tax-free, non-reportable action that involves moving cash or other assets from one retirement vehicle to another. This must be done within 60 days, and can only be done once a year
this kind of beneficiary is designated on the chance the primary beneficiary passes before funds are inherited or disbursed
traditional IRA's are required to have deductions taken out for the federal government. Must be more than 10%, but client can designate more if desired. Or a client can opt to have it reflect on the next year's taxes vs. time of withdrawal