The passing of a parent -- and dealing with the financial implications of such an event -- is undoubtedly stressful. "Presuming your mother's IRA was already transferred to a beneficiary IRA in your name, then all you need to do is open up a corresponding beneficiary account in the same registration (open the account in your name while including your mom's name as the original account holder and providing a death certificate or beneficiary paperwork) at whatever firm you wish to do business with," says Joseph Favorito, a certified financial planner at Landmark Wealth Management. "The distribution rules are not impacted by what firm serves as the custodian of the account."
To ensure the IRA retains its tax-deferred status, you'll want to transfer your accounts to another financial institution through a process called a custodian-to-custodian transfer, suggests Terrance Hutchins, a CFP at Logos Financial Group. "Since you're 53 and inherited the IRA recently, you'll need to adhere to the 10-year rule. This means you must fully deplete the account within 10 years of inheritance and you must withdraw annual RMDs based on your life expectancy, but the account balance must be zero by the end of the 10th year."
But choosing what firm -- and what adviser -- to do business with can be a challenge. "The type of professional you need depends on the level of service you need. If you consider yourself to be more of a novice, then you probably need an adviser that is capable of working on a comprehensive financial plan," says Favorito. "I would personally recommend a fee-based adviser over a commission-based adviser, or preferably a fee-only adviser." If you're not a novice, seeking assistance from a robo-adviser can help, while still giving you space to make your own decisions.
That said, you don't need a professional to help you move your money around. "Any institution would be happy to help you open a newly inherited IRA and electronically pull the assets to the new account," says Shaun Williams, a CFP at Paragon Capital Management. "You could use a discount brokerage like Fidelity or Schwab, a robo adviser like Betterment or a full service adviser."
If you decide to go the adviser route, look for someone with experience in retirement planning, says Amy Hamasaki, a CFP at Mountain Wealth Planning. "Your living expenses are the crux of your retirement plan. I encourage you to seek the assistance of a comprehensive financial planner who will holistically evaluate your entire financial landscape and make suitable recommendations to achieve your financial goals," says Hamasaki. "Once you have your plan in place, then determine the optimal custodian to transfer the assets."
You can hire someone to help you on a project or hourly basis. "If you just have this isolated concern related to the IRA, that could be a cost effective way to go," says Hutchins. "If you want to work with someone on an ongoing basis, you will probably lean towards someone who has a flat retainer model, and they can give you a comprehensive approach to your overall financial situation. You may end up DIY-ing your investments with the adviser assisting you with opening up, funding and investing the account yourself. They may also work with you but will likely charge a fee based on the value of your account. Based on your account size, this fee should be manageable." (Looking for a new financial adviser too? This free tool from our partner SmartAsset can match you to advisers, as can tools offered by the CFP Board and NAPFA.)
You've mentioned that your key concerns are dissatisfaction with your current adviser and how to best invest your accounts. "It's important to determine why you're unhappy," says Hutchins. "Is it due to poor communication? Lack of personalized service? Subpar investment performance? If you can properly communicate your experience and expectations with the next adviser, that will go a long way in determining if they're a good fit for you."
As for disbursements, you'll need to be aware of the required minimum distributions which can be complex due to recent rule changes, says Ryan Haiss, a CFP at Flynn Zito Capital Management. "Depending on the type of IRA and when your mother passed you may need to take RMDs," says Haiss. "To navigate these rules and manage your inherited IRA, I recommend working with a CFP experienced with beneficiary IRAs as they can help you stay compliant and integrate the inherited IRA Into your broader retirement plan to ensure a comfortable future."