Before the Next IRA Withdrawal, Bring the Home Into the Conversation
A practical look at the funding choices behind this client situation.
Read the articleFor CPAs
Before the withdrawal, compare where the money could come from.
A client’s expense may be fixed. The funding source may still be open to discussion. Bring Richard into the review while your client has time to compare the choices.
Listen for these openings.
- A retired homeowner is planning a substantial IRA withdrawal for a repair or other expense.
- Recurring distributions are supporting an existing mortgage payment or rising household costs.
- The client wants to review liquidity alongside a conversion or other tax planning decision.
You evaluate the tax consequences. Richard explains the mortgage option.
Richard’s former CPA background helps him understand the question behind the return. He can show estimated proceeds, costs and projected balance so you can evaluate the proposal against the client’s tax plan. Loan proceeds don’t change required minimum distribution rules; your analysis determines any tax planning benefit.
Here’s how to begin.
- Start with a general situation. Share the goal, approximate ages, property location, estimated value and mortgage balance. Keep names and sensitive details out of the initial description.
- Review the potential fit. An initial discussion can identify the questions to answer and whether a current mortgage illustration is appropriate.
- Make an introduction with permission. You can remain part of the client conversation. If they proceed, Richard handles the mortgage process while you continue your work with them.
Read the situations behind the strategy.
A Source of Liquidity Can Help Before Your Client Uses It
A practical look at the funding choices behind this client situation.
Read the articleThe Home Is Worth More. Is It Still Comfortable to Carry?
A practical look at the funding choices behind this client situation.
Read the articleGive your client a useful option to consider.
Bring the goal and the question. The review will consider whether home equity can contribute to a plan that works for the client.