My complaint:
When I was initially signed into the inherited IRA investment program I was told, and my paperwork agrees, that it was a life-expectancy program. Then, this year I was, unexpectedly, told that the program only lasted to more years for me, yet the IRS tables for life expectancy had not run down that far. An inquiry to my local office informed me that I was in Fidelity’s life expectancy program that started with your life expectancy when you inherited the IRA but each thereafter it was that life expectancy minus one year. This gave me about 8 years for disbursement of the funds to me, which was news to me and a shock. It meant I had to empty the account in two years, not my life term as I had expected. On Fidelity’s website today they have information on the inherited IRA’s and include a life-expectancy chart which is the same as what I had anticipated, no mention of the minus one year for each year you took a disbursement. I cannot help but feel something is haywire here and I am not being told the full story.
Suggested solution:
They need to be honest with me and tell my why their blurb on the website today agrees with what I understood to life-expectancy but they put me on a life-expectancy minus one year for each year of that year's life expectancy. If I am correct that this is going to cost me a good deal in excess federal tax, Fidelity should reimburse me for that expense. If I am wrong explain to me why today's item says nothing about the minus l for each year.
