Inherited Roth IRA Calculator - InsMark

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Preface
An inherited Roth IRA is an asset accumulation
and distribution program that has been granted
special tax consideration. It has the following
characteristics:
Additional Contributions
There is no provision for additional
contributions.
Tax Free Growth
As values grow, earnings are not subject to
income tax.
Required Minimum Distributions
There are required minimum distributions from
such plans based on age(s) of participants and
IRS formulas.
As a result of the dynamic combination of tax
free growth and tax free distributions, an
inherited Roth IRA is an extraordinary financial
instrument. The accompanying material should
be helpful to you in analyzing the value of such
a plan.
Tax Free Distributions
Distributions are income tax free.
$4,800,000
$4,611,800
$4,611,800
$3,600,000
$2,400,000
$1,200,000
$0
$0
54 64 74 84
Age
After Tax Distributions (Cumulative) $4,611,800
Before Tax Distributions (Cumulative) $4,611,800
Before Tax Plan Assets $0
At Year 40
Note: All projections are based on client furnished data and assumptions.
Date: [Current date appears here]
Page 1 of 7

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Flow Chart Analysis
Investment
Yield
Inherited
Plan Assets
Admin.
Expenses
Tax Free
Distributions
Balance
to Heirs
Date: [Current date appears here]
Page 2 of 7

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Distribution
Current Value
1,000,000
Plan
Yield
7.50%
Year
Age
(1)
Beginning
of Year
Balance
in Plan
Assets
(2)
Before Tax
IRS
Required
Minimum
Distribution*
(3)
Before Tax
Scheduled
Distribution
(4)
After Tax
Income from
Scheduled
Distribution
(5)
Year End
Plan
Assets
1 45 1,000,000 27,855 27,855 27,855 1,045,056
2 46 1,045,056 29,944 29,944 29,944 1,091,245
3 47 1,091,245 32,190 32,190 32,190 1,138,484
4 48 1,138,484 34,604 34,604 34,604 1,186,671
5 49 1,186,671 37,200 37,200 37,200 1,235,682
6 50 1,235,682 39,990 39,990 39,990 1,285,369
7 51 1,285,369 42,989 42,989 42,989 1,335,558
8 52 1,335,558 46,213 46,213 46,213 1,386,046
9 53 1,386,046 49,679 49,679 49,679 1,436,595
10 54 1,436,595 53,405 53,405 53,405 1,486,929
11 55 1,486,929 57,410 57,410 57,410 1,536,733
12 56 1,536,733 61,716 61,716 61,716 1,585,643
13 57 1,585,643 66,345 66,345 66,345 1,633,245
14 58 1,633,245 71,321 71,321 71,321 1,679,069
15 59 1,679,069 76,670 76,670 76,670 1,722,579
16 60 1,722,579 82,420 82,420 82,420 1,763,170
17 61 1,763,170 88,602 88,602 88,602 1,800,161
18 62 1,800,161 95,247 95,247 95,247 1,832,783
19 63 1,832,783 102,390 102,390 102,390 1,860,172
20 64 1,860,172 110,069 110,069 110,069 1,881,361
21 65 1,881,361 118,325 118,325 118,325 1,895,263
22 66 1,895,263 127,199 127,199 127,199 1,900,669
23 67 1,900,669 136,739 136,739 136,739 1,896,225
24 68 1,896,225 146,994 146,994 146,994 1,880,423
25 69 1,880,423 158,019 158,019 158,019 1,851,585
26 70 1,851,585 169,870 169,870 169,870 1,807,843
27 71 1,807,843 182,610 182,610 182,610 1,747,126
28 72 1,747,126 196,306 196,306 196,306 1,667,131
29 73 1,667,131 211,029 211,029 211,029 1,565,310
30 74 1,565,310 226,857 226,857 226,857 1,438,837
2,880,207 2,880,207 2,880,207
*Column (2) projects an estimate of the required minimum
distribution based on asset value and beneficiary's life
expectancy (reduced by one each year thereafter).
Plan results are hypothetical only. Actual results will vary
due to changes in contributions and withdrawals, income
tax brackets, and investment performance.
Date: [Current date appears here]
Page 3 of 7

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Distribution
Current Value
1,000,000
Plan
Yield
7.50%
Year
Age
(1)
Beginning
of Year
Balance
in Plan
Assets
(2)
Before Tax
IRS
Required
Minimum
Distribution*
(3)
Before Tax
Scheduled
Distribution
(4)
After Tax
Income from
Scheduled
Distribution
(5)
Year End
Plan
Assets
31 75 1,438,837 243,871 243,871 243,871 1,284,588
32 76 1,284,588 262,161 262,161 262,161 1,099,109
33 77 1,099,109 281,823 281,823 281,823 878,583
34 78 878,583 302,960 302,960 302,960 618,795
35 79 618,795 325,681 325,681 325,681 315,097
36 80 315,097 315,097 315,097 315,097 0
37 81 0 0 0 0 0
38 82 0 0 0 0 0
39 83 0 0 0 0 0
40 84 0 0 0 0 0
4,611,800 4,611,800 4,611,800
*Column (2) projects an estimate of the required minimum
distribution based on asset value and beneficiary's life
expectancy (reduced by one each year thereafter).
Plan results are hypothetical only. Actual results will vary
due to changes in contributions and withdrawals, income
tax brackets, and investment performance.
Date: [Current date appears here]
Page 4 of 7

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Summary Analysis at age 84
0
Plan Assets (Before Tax)
4,611,800
4,611,800
Cum. Distributions
(Before Tax)
Cum. Distributions
(After Tax)
Note: All projections are based on client furnished data and assumptions.
Date: [Current date appears here]
Page 5 of 7

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Distribution
Plan Assets
(Before Tax)
$5.6M
Plan Assets (Before Tax)
4.2M
2.8M
1.4M
0
$0
Age 54 64 74 84
Cumulative Distributions
(Before Tax)
Cumulative Distributions
(After Tax)
$5.6M
Cum. Distrib. (Before Tax)
$5.6M
Cum. Distrib. (After Tax)
4.2M
$4,611,800
4.2M
$4,611,800
2.8M
2.8M
1.4M
1.4M
0
Age 54 64 74 84
0
Age 54 64 74 84
Note: All projections are based on client furnished data and assumptions.
Date: [Current date appears here]
Page 6 of 7

Inherited Roth IRA
Presented By: [Licensed User's name appears here]
For: Tommy Barker
Distribution Summary
$4,800,000
$4,611,800
$4,611,800
$3,600,000
$2,400,000
$1,200,000
$0
$0
54 64 74 84
Age
At Year 40
After Tax Distributions (Cumulative) $4,611,800
Before Tax Distributions (Cumulative) $4,611,800
Before Tax Plan Assets $0
Note: All projections are based on client furnished data and assumptions.
Date: [Current date appears here]
Page 7 of 7