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Lets take this one at a time.
There are several different ways to take a survivor benefit on a pension .
Do you know if it's a limp sum payout, or if this is a joint and survivor annuity where there will e a monthly payout for the curvovir?
Sorry "Lump" sum
beneficiary will need to designated (either me or our daughter) I want access to the funds if there is a way.
OK, then the survivor will get a 1099 every year for any amount that will be taxable, regardless of where the money "lands" so to speak
All your daughter has to do is have it deposited into s joint account
So your daughter, as beneficiary, can have it put anywhere she wishes
even hav a check sent to the mail bos
What she gives to you is her business, legally
Isn't there a limit on what she can give away?
and as you mention if she gives you more than 14000 then she;ll have to file an informational gift tax form ... but she wouldn't have to pay gift taxes until the accumulated amounts go over 5,250,000
there is an exemption on gift (and the big gift, estate) taxes of 5,250,000 and it's going up every year now
the gift tax form (IRS Form 709) is simply to track against that exemption
and if the yearly amount is under 14000 there's not form at all
Am I correct in believing that I could write checks on the joint account?
Sure, If you set it us as a joint ownership, both of you could write checks
sorry for the typos - doing this on a device ... trying to get back tp the computer now
But yes, also... in a joint account...
and if the amount exceeded 14,000.00 in a year it just goes against her total lifetime exemption?
if one of you pass away, it becomes the other's money
Joint Tenneacy with right of survivorship is the full name
Yes, lifetime exemption
I understand. that's why I am trying to set this up as she likely will out live me by several decades.
Yes, just to put numbers onit, if she gave you 3,000,000 over her lifetime and died today (again the amount goes up every year) her estate could still be worth 2,250,000 without estate taxes against the estate at her passing
And we now have something called portability, where the amount of the gift not used bu one spouse can be passed to the surviving spouse, so if she is married that number (ir becomes marreid) and ity were today, that number is XXXXX over 10,000,000
I just want to make sure that if she opens up an account in her name with me as a signer, I pay her tax liability on an annual basis, have access to the funds and upon my death she and her account just continue uninterrupted?
Sorry, should have said the amount of the EXEMPTION
Joint account, and be sur they set it up as (and this IS the default on joint accounts) WITH RIGHTS OF SURVIVORSHIP[
and providing the taxes are paid and any excess of 13,000.00 per year, the IRS is notified at tax time all should be good with the IRS?
OK, again the taxes on the income stream will be taxed to her (if it's taxable) She will get a 1099
Then every time she makes a deposit into the joint account, she is gifting you 1/2 of that money
You will both have the right to sign (she can waive it or not use it
then if you give her the money to ay the taxes on that income stream, you actually are giving a gift to her
and finally, the interest that the account itself bears will be 1/2 yours and 1/2/ hers
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