The Trust That Cost Three Texas Siblings $300,000: Why Naming Your Trust as IRA Beneficiary Often Backfires
Sandra Nguyen was meticulous. Revocable trust, updated beneficiary designations, a thick binder from her Frisco attorney. She named her trust as the primary beneficiary of her $2.3 million IRA to 'unify the estate plan.' When she died in 2026, that single decision sent her three children to pay the IRS an extra $300,000 in income taxes they never owed.
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