Don't Give Your Nest Egg to Uncle Sam

How would you feel if you lost nearly half of your retirement money? No, not to another bear market -- but to Uncle Sam! It's a horrifying possibility. But it could happen if you don't pay attention to the rules of your retirement accounts, or if you fail to name the correct beneficiaries to your account, or if your heirs don't understand the proper way to roll over or withdraw your retirement funds after your death.

That scary scenario is the premise of Ed Slott's new book, Your Complete Retirement Planning Road Map (Ballantine, $25.95). Slott is an expert on the rules of IRAs and 40l(k)s as they relate to withdrawals during your lifetime and for the money left over after your death.

This is not a book about investing in your retirement plans, or asset allocation, or fund choices. Slott says he presumes his readers are making regular contributions, and have diversified their investments. Instead, he's organized this book like a checklist for servicing your new car: you may not know what's under the hood, but you should make sure that all the required service steps are taken.

Whether it's ordinary precautions, such as naming the correct beneficiary for your IRA, or strategic decisions, such as deciding whether to roll your 40l(k) plan into an IRA when you switch jobs (generally a good idea), or dealing with the complexities of retirement plan assets in divorce, Ed Slott has the advice you need to avoid making expensive mistakes.