`. Per-site deviations (e.g. 'US phone number (10 digits)' vs generic 'valid phone number', 'Age must be 18-85 for term life') are allowed but MUST be documented in packages/shared/docs/FORM-VALIDATION-MESSAGES.md. Picks the friendliest/clearest variant as canonical — see that doc for the decision rationale on each string.","_updated":"2026-04-24","required":{"name":"Please enter your full name.","nameFirstLast":"Please enter your first and last name.","phone":"Please enter a valid phone number.","phoneRequiredWithAgent":"Please enter your phone number so Ali can reach you.","email":"Please enter a valid email address.","field":"This field is required."},"invalid":{"email":"Please enter a valid email address.","phone":"Please enter a valid phone number.","phoneTenDigits":"Please enter a valid 10-digit phone number.","phoneUsOnly":"Please enter a valid US phone number (10 digits).","phoneUsOnlyWithFallback":"Please enter a valid US phone number (10 digits). Outside the US? Call (239) 800-8508.","phoneOptional":"Please enter a valid 10-digit US phone number, or leave blank."},"zeroBounce":{"invalid":"This email address doesn’t appear to exist. Please double-check and try again.","spamtrapOrAbuse":"We can’t accept this email address. Please use a different one.","doNotMail":"This looks like a temporary or disposable email. Please use your real email address.","default":"Please enter a valid email address."},"retry":{"generic":"Something went wrong. We’ve saved your info and will retry automatically. You can also call us at (239) 800-8508.","network":"Network error. We’ve saved your info and will retry automatically. You can also call us at (239) 800-8508.","timeout":"Taking longer than expected — we’ve saved your info and will retry automatically. You can also call us at (239) 800-8508.","connection":"Connection error — we’ve saved your info and will retry automatically. You can also call us at (239) 800-8508."},"submit":{"rateLimited":"Too many submissions. Please wait a minute."},"perSite":{"siteFinalExp":{"_note":"Final Expense is age-gated 50+; today this rule lives server-side, not in client-side form validation. No client-side deviations from canonical."},"siteTerm":{"dobFormat":"Please enter date as MM/DD/YYYY.","dobAgeRange":"Age must be between 18 and 85 for term life.","_note":"Term Life uniquely validates Date of Birth + age range at the point of the quote form (18-85 window chosen because no A-rated carrier will quote outside it). Keep both strings site-local — they do not apply to the other 5 sites."},"siteIul":{"phoneBlurPartial":"Please enter a 10-digit phone number.","_note":"IUL's inline blur handler uses a stricter 'X-digit' phrasing while typing; kept site-local because it's a transient nudge, not the submit-time error."},"siteMortprot":{"_note":"Uses `phoneRequiredWithAgent` and `phoneOptional` canonical strings. No additional site-local strings."}}}; Skip to main content

The SECURE Act fundamentally changed how inherited retirement accounts are taxed — and made life insurance an even more valuable estate planning tool for Florida families.

What the SECURE Act Changed

Before the SECURE Act, beneficiaries who inherited IRAs and 401(k)s could "stretch" distributions over their entire lifetime, minimizing the annual tax impact. The Setting Every Community Up for Retirement Enhancement (SECURE) Act eliminated the stretch provision for most non-spouse beneficiaries, replacing it with a 10-year distribution requirement.

This means if you inherit a traditional IRA from a parent, you must withdraw the entire balance within 10 years — and pay income tax on every dollar withdrawn. For a large IRA, this could push beneficiaries into much higher tax brackets and result in significantly more taxes than under the old rules.

The Tax Impact

Consider a $500,000 inherited IRA. Under the old stretch rules, a 40-year-old beneficiary could spread distributions over 40+ years, keeping annual taxable amounts manageable. Under the SECURE Act's 10-year rule, that same $500,000 must be distributed within a decade — potentially adding $50,000 per year to the beneficiary's taxable income. At a 32 percent marginal tax rate, that's $16,000 per year in additional federal taxes.

The IRS beneficiary distribution rules detail the specific requirements for inherited retirement accounts.

How Life Insurance Solves This

Life insurance death benefits are income-tax-free. If you want to pass $500,000 to your children, they'll receive the full amount from a life insurance policy without any income tax. Compare that to the inherited IRA, where they might lose $100,000 to $160,000 in taxes over the 10-year distribution period.

Some financial planners now recommend a strategy of using retirement account funds to pay life insurance premiums during your lifetime. You take taxable distributions from your IRA (at your current tax rate, which may be lower than your children's rate) and use those funds to pay for a life insurance policy. Your children receive the life insurance death benefit tax-free instead of inheriting a tax-burdened IRA.

Exceptions to the 10-Year Rule

Certain beneficiaries are exempt from the 10-year requirement: surviving spouses, minor children (until they reach majority, then the 10-year clock starts), disabled or chronically ill individuals, and beneficiaries who are not more than 10 years younger than the deceased. For everyone else — including adult children, which is the most common beneficiary scenario — the 10-year rule applies.

Roth IRA Considerations

Inherited Roth IRAs are also subject to the 10-year distribution rule, but distributions are tax-free (since Roth contributions were made with after-tax dollars). For this reason, Roth conversions during your lifetime can reduce the tax burden on your beneficiaries — and life insurance can provide funds to cover the conversion taxes.

Planning for Florida Families

Florida's lack of state income tax is already an advantage, but the SECURE Act makes life insurance an even more powerful tool for Florida families who want to maximize what they pass to the next generation. Work with a financial advisor who understands both the SECURE Act provisions and life insurance planning to create the most tax-efficient inheritance strategy.

The SECURE Act made inheriting retirement accounts more expensive for your children. Life insurance offers a tax-free alternative that puts more money in your family's hands and less in the government's. It's one of the most powerful responses to the new inheritance rules.

Trusted Partners

A-Rated Carriers, One Independent Agent

I compare policies from 10 of the most financially stable life insurance companies in America — so you get the best coverage at the best price, no matter which carrier wins.

Banner Life / William Penn A AM Best
Corebridge Financial A AM Best
John Hancock A+ AM Best
Nationwide A+ AM Best
Pacific Life A+ AM Best
Principal A+ AM Best
Protective A+ AM Best
Prudential A+ AM Best
SBLI (Savings Bank Life Insurance) A AM Best
Symetra A AM Best

Logos are trademarks of their respective owners. Appearance does not imply endorsement. AM Best ratings are independently assigned and subject to change.

Ali also helps Florida families with

Life Insurance Florida Life Insurance Term, Whole, IUL, Final Expense, Mortgage — one independent agent Term Life Florida Term Life Affordable coverage from $15/month. 10+ A-rated carriers compared. IUL Florida Indexed Universal Life Tax-free retirement income with market-linked growth. Final Expense Florida Final Expense Burial insurance from $20/month. Coverage up to $35,000. Mortgage Protection Florida Mortgage Protection Keep your family home if something happens to you.

Independent licensed FL agent — one agent, every product.

Get Free Quote Call Now