Raleigh Retirement Trust Attorney

Standalone Retirement Trust for IRAs and 401(k)s 

For many families, the IRA or 401(k) is the largest single asset. Since 2020, most children must empty an inherited account within ten years, and the Supreme Court has held that an inherited IRA is not protected in a child's bankruptcy. A standalone retirement trust receives the account at your death and manages the payout for the benefit and protection of your heirs.

How it works

• You name the trust as beneficiary of the retirement accounts. The trust is written so that the IRS treats your children as the beneficiaries (a see-through trust), which preserves the longest payout available.
• For a child, the trustee withdraws at least what the law requires each year and empties the account within ten years, keeping the withdrawals in a protected trust or distributing them as the child's needs and tax bracket warrant.
• For a surviving spouse or a disabled or chronically ill beneficiary, the trust switches to a conduit form that preserves the life-expectancy payout those beneficiaries still enjoy.
• Keeping the retirement account in its own trust, rather than your main trust, avoids the common drafting problems (charitable gifts, estate expenses, older beneficiaries) that can disqualify the payout.

Who should consider it?

• Retirement accounts over roughly $500,000.
• A child who is young, has creditor problems, is in a shaky marriage, or has a disability.
• Second marriages, where the spouse should benefit for life but the account should ultimately go to your children.

How we price advanced planning

Advanced planning is priced case by case. These trusts are significantly more complex than a standard revocable trust or a Medicaid asset protection trust: each one involves tax modeling, valuation, coordination with your CPA and financial advisor, and years of administration that the document has to anticipate. For that reason, they are not on our flat-rate menu. After your consultation, we quote a flat fee for your specific plan, so you still know the full cost before any work begins.

Common questions

Should my spouse inherit the IRA outright instead?

Usually yes. A surviving spouse can roll the account into his or her own IRA, which no trust can match. We use the trust for a spouse only when there is a specific reason.

Does this change my income taxes now?

No. The trust is revocable and unfunded during your life; it only receives the account at death.

Call to action

Schedule a consultation with Kevin Peach. We will tell you plainly whether advanced planning is right for your family and quote a flat fee for your plan. 

Call (919) 759-6353 today to schedule an initial consultation with our firm.

Disclaimer: This page is general information about North Carolina and federal estate planning, not legal advice, and does not create an attorney-client relationship. Exemption amounts are as of 2026 and change annually. Every plan depends on the client's facts, and no result is guaranteed.