Ask the Hammer: What should you do if you inherit an annuity?

Jeffery Levine, chief planning officer at Buckingham Wealth Partners, answered a reader's questions about an annuity they and their siblings inherited.
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"Our mother passed December of 2020. She had an annuity with Tennessee Farmers Life Insurance Co. with her 3 living children as beneficiaries. We have not received the proceeds as of this date. I attended a financial meeting tonight and the speaker stated that the new tax laws for 2021 state that if you do not receive the proceeds by September of this year, you will be penalized, greatly. We are in disagreement over the will at this moment and are not speaking." 

"Please send information about how these proceeds are to be distributed. The agent states that all 3 checks have to be issued on the same day to us. I am trying to do the right thing and so far have not found anything on the internet regarding this."

That is the question Jeffery Levine, chief planning officer at Buckingham Wealth Partners, answered in this installment of Ask the Hammer.

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Email AsktheHammer@BuckinghamGroup.com.

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