Page 14 - Hobe Sound Reflections - January '24

Page 14, Hobe Sound

FiNaNCial tip oF tHe tail

FoCus ® Understanding Heartworm However, these tests are not always reliable for detecting
heartworms in cats, as they tend to have lower worm
Disease In Cats burdens compared to dogs. Imaging techniques, such
Don’t Leave Your IRA To The IRS as X-rays and ultrasounds, might be employed to assess
heart and lung abnormalities, while echocardiography
By Sally Sima Stahl can help visualize any adult worms present.
If you’ve invested in Treatment And Prevention
an IRA for many decades, Treating heartworm disease in cats is not as
it may well turn into a key straightforward as it is in dogs. No approved medications
source of income for your currently exist for eliminating heartworms in infected
retirement. Still, you might cats. Consequently, treatment focuses on managing
not deplete your IRA in your the symptoms and preventing further complications.
lifetime, especially if you Medications may be prescribed to alleviate respiratory
also have a pension or a distress and reduce inflammation in the lungs and
401(k) and other investment airways.
income. So, if your IRA still Prevention is key when it comes to heartworm
has sizable assets after your disease in cats. Regular use of veterinarian-prescribed
passing, it would likely end up in your estate plan. If you heartworm preventives can effectively safeguard cats
leave your IRA to grown children or other family members, from heartworm infection. It is essential to note that
could they be hit with a big tax bill? Heartworm disease is a serious and potentially life- preventives for cats differ significantly from those for
Here’s a little background: Up until the Secure Act of threatening condition that can affect not only dogs but dogs, as certain preventives used for dogs, such as those
2019, those who inherited traditional IRAs could extend also cats. While cats are generally considered more containing the drug ivermectin, can be toxic for cats.
their required withdrawals over their lifetimes, which resistant to heartworms than dogs, the consequences Therefore, it is crucial to consult with a veterinarian to
stretched out the annual taxes due on these withdrawals. of the disease can be severe in felines, often leading to determine the most suitable preventive options for your
But the Secure Act changed the provisions for non-spouse respiratory distress and even sudden death. In this article, feline friend.
beneficiaries who inherited an IRA after 2019, meaning we will delve into the key aspects of heartworm disease Conclusion
that beneficiaries of inherited IRAs had only 10 years in cats, including how it is transmitted, symptoms to look Heartworm disease in cats is a serious condition
(beginning the year after death) to withdraw the entire out for, diagnostic methods, and prevention. that requires vigilance and proactive prevention. While
balance. For some beneficiaries, this could potentially Transmission And Life Cycle cats may be more resistant to heartworms than dogs,
create a tax burden. (Inheritors of Roth IRAs are also Heartworms, known as Dirofilaria immitis, are the potential consequences can still be devastating. By
required to follow the 10-year distribution rule but are not transmitted through the bite of an infected mosquito. understanding the transmission, symptoms, diagnosis,
subject to income taxes on account earnings if the Roth When a mosquito carrying infective heartworm larvae and treatment options for heartworm disease in cats,
IRA’s five-year holding period has been met.) bites a cat, the larvae are deposited onto the cat’s skin pet owners can take appropriate measures to protect
However, not all beneficiaries were affected by the new and then burrow into the bite wound. Over the next few their feline companions. Regular veterinary checkups,
rules. Spouses can stretch their inherited IRA distributions months, the larvae mature and migrate through the cat’s mosquito control measures, and adherence to proper
over their lifetimes and exceptions exist for certain non- tissues, eventually ending up in the heart and lungs. preventive protocols are all vital in ensuring the well-
spouse beneficiaries. Minor children of the IRA owner (until Symptomatology being and longevity of our beloved cats. Remember,
the age of majority), chronically ill or disabled individuals, Detecting heartworm disease in cats can be challenging, prevention is the key to keeping heartworms at bay.
and beneficiaries who are no more than 10 years younger as they exhibit various symptoms, many of which can Established in 1981, Palm City Animal Medical
than the IRA owner may opt to stretch their distributions. be attributed to different ailments. The most common Center is dedicated to providing the best possible care
The new 10-year requirement applies to IRAs inherited signs include coughing, wheezing, difficulty breathing, for your pets. With focuses on compassionate care in
on or after Jan. 1, 2020. But due to confusion over changes lethargy, weight loss, decreased appetite, vomiting, and surgery, physical therapy and rehabilitation, preventative
to required minimum distribution (RMD) rules for some sudden collapse. However, some cats may not exhibit any medicine, extensive diagnostics, and emergency service,
beneficiaries of inherited IRAs, the IRS waived penalties symptoms at all, making diagnosis even more elusive. Palm City Animal Medical Center combines exceptional
for individuals who failed to take RMDs in 2021 and 2022 Diagnosis medical care with a caring philosophy for pets and their
and extended the RMD penalty waiver for 2023. Diagnosing heartworm disease in cats is a complex owners. For more information, call (772) 283-0920, visit
Although these rulings give beneficiaries – those not process. Blood tests are typically performed, looking for www.palmcityanimalmedicalcenter.com or find us on
eligible for the exemptions listed above – more time to specific antigens produced by adult female heartworms. Facebook at www.facebook.com/PalmCityAnimalClinic.
plan, they will eventually need to start taking RMDs, which
could affect their tax situations. To help protect your heirs,
consider these suggestions. Advertise in This Newspaper! Call 561.746.3244
• Using permanent life insurance. A properly Check out our website! www.seabreezepublications.com
structured permanent life insurance policy could help
you replace the assets your family might lose to the taxes
resulting from an inherited IRA. You might even consider
naming a charity as the beneficiary of an IRA, rather than
your family members. The charity would receive the IRA
proceeds tax free, and the life insurance could then provide
tax-free benefits to your heirs.
• Leaving taxable investment accounts to your heirs.
Apart from your tax-deferred IRA, you may own other,
fully taxable accounts containing investments such as
stocks or bonds. Typically, these investments receive
what’s known as a “step-up” in their cost basis once
they are inherited. This means your heirs will essentially
inherit all the gains your investments earned by the time
of your passing – but they won’t be taxed on these gains
if they sell the assets immediately. This type of sale
could help offset the taxes your heirs will incur from
the inherited IRA.
The tax and investment issues surrounding inherited
IRAs can be complex, so consult with your tax and financial
advisors before making any moves. And, as with many
areas relating to inheritances, the sooner you start planning,
the better.
This article was written by Edward Jones for use by
your local Edward Jones Financial Advisor, Edward Jones,
Member SIPC.
Edward Jones is a licensed insurance producer in
all states and Washington, D.C., through Edward D.
Jones & Co., L.P., and in California, New Mexico and
Massachusetts through Edward Jones Insurance Agency
of California, L.L.C.; Edward Jones Insurance Agency of
New Mexico, L.L.C.; and Edward Jones Insurance Agency
of Massachusetts, L.L.C.
Edward Jones, its employees and financial advisors
cannot provide tax advice. You should consult your
qualified tax advisor regarding your situation.
Contact us at (561) 748-7600, Sally Sima Stahl, AAMS,
1851 W. Indiantown Road, Ste. 106, Jupiter, FL 33458.