The U.S. Supreme Court ruled this month that individuals may exempt IRA assets from bankruptcy estates because IRAs fulfill two important requirements of 11 U.S. Code Section 522(d)(10)(E) that were at issue:

1. They confer a right to receive payment on account of age; and

2. They are similar plans or contracts to those enumerated in §522(d)(10)(E). These other plans include qualified employer plans like stock bonus, pension, profit sharing, 401(k), or annuity plans.

Rousey, et al v. Jacoway, decided April 4, 2005