Beneficiary Distributions Clause Samples
The Beneficiary Distributions clause outlines how and when assets or income are to be distributed to beneficiaries under an agreement, such as a trust or estate plan. It typically specifies the timing, method, and proportion of distributions, and may set conditions or restrictions, such as age requirements or milestones beneficiaries must meet. This clause ensures that the intentions of the grantor or settlor are clearly followed, providing structure and predictability to the distribution process and helping to prevent disputes among beneficiaries.
Beneficiary Distributions. Upon your death, your beneficiaries are required to take distributions according to IRC Sec. 401(a)(9) and Treasury Regulation 1.408-8. These requirements are described below.
Beneficiary Distributions. A Participant may designate a Beneficiary or Beneficiaries of the Account at any time and any such designation may be changed or revoked at any time, by written designation executed by the Participant in a form and manner prescribed by or acceptable to, and filed with, the Custodian. Such designation, change, or revocation shall be effective only upon receipt and acceptance by the Custodian and only if such receipt shall be during the Participant’s lifetime. The latest such accepted designation, change, or revocation shall control. A Beneficiary designation will NOT automatically be revoked or modified due to the Participant’s divorce, legal separation, annulment or other dissolution of marriage. Following the death of the Participant, the balance of the Participant’s Account shall be distributed to the Participant’s designated Beneficiary or Beneficiaries, if any, in accordance with the provisions of Article IV of the Agreement and in accordance with the Custodian’s administrative or operational requirements and regular business practices, which may change from time to time. The Participant may request additional information concerning the Beneficiary policies and procedures from the Financial Institution. If there is no primary Beneficiary living at the time of the Participant’s death, the balance of the Participant’s Account will be payable to the surviving contingent Beneficiary or Beneficiaries designated by the Participant. If there is no Beneficiary designation on file with the Custodian, or if no primary or contingent Beneficiaries survive the Participant, the Custodian shall distribute the Account in the following order of preference:
(i) The Participant’s surviving spouse, if any
(ii) The Participant’s children, if any, in equal shares per stirpes
(iii) The Participant’s estate If the Participant designates more than one primary or contingent Beneficiary but does not specify the percentages to which such Beneficiary or Beneficiaries are entitled, payment will be made to the surviving Beneficiary or Beneficiaries in equal shares. Unless otherwise designated by the Participant in a form and manner acceptable to the Custodian, if a primary or contingent Beneficiary designated by the Participant predeceases the Participant, the deceased Beneficiary’s percentage allocation will be divided among the surviving Beneficiaries in accordance with the ratio of each surviving Beneficiary’s percentage allocation relative to the percentage allocation of all oth...
Beneficiary Distributions. Upon your death, your beneficiaries are required to take distributions according to Code Section 401(a)(9) and Regulation 1.408-8. These requirements are described below. ▇▇▇▇ ▇▇▇ DISTRIBUTION DUE TO DEATH OF AN IRA OWNER WHEN THE DATE OF DEATH IS ON OR PRIOR TO DECEMBER 31 , 2019 – If you have properly designated a beneficiary(ies), the entire value of your ▇▇▇▇ ▇▇▇ must be distributed to your beneficiaries within five years after your death, unless the designated beneficiary elects in writing, no later than September 30 of the year following the year in which you die, to take distributions over their life expectancy. These distributions must commence no later than December 31 of the calendar year following the calendar year of your death. Your designated beneficiary may name a subsequent beneficiary. Any subsequent beneficiaries must take distributions at least as frequently as the original designated beneficiary, provided the original beneficiary’s date of death is on or prior to December 31, 2019. If you do not properly designate a beneficiary, or all designated beneficiaries have predeceased you, your spouse shall becom e the beneficiary or, if no surviving spouse or unmarried, the distribution will be made to your estate. If your designated beneficiary is your spouse, your spouse may elect to treat your ▇▇▇▇ ▇▇▇ as their own. ▇▇▇▇ ▇▇▇ DISTRIBUTIONS DUE TO DEATH OF AN IRA OWNER WHEN THE DATE OF DEATH IS ON OR AFTER JANUARY 1, 2020 – If you have one or more designated beneficiaries, all amounts remaining in your ▇▇▇▇ ▇▇▇ upon your death must be distributed no later than December 31 of the ca lendar year that contains the tenth anniversary of your death. If you have no designated beneficiary by September 30 of the year following the year in which you die, the entire value of your IRA must be distributed to your beneficiaries within five years after your death. An exception to the 10-year rule is made for eligible designated beneficiaries who elect in writing no later than 1 year after your death to take distributions over their life expectancy. An “eligible designated beneficiary” is any designated beneficiary named by the owner where such designation is received in proper form prior to the death of the owner and the designated beneficiary is:
Beneficiary Distributions. Upon your death, your beneficiaries are required to take distributions according to Code Section 401(a)(9) and Regulation 1.408-8. These requirements are described below. ▇▇▇▇ ▇▇▇ DISTRIBUTION DUE TO DEATH OF AN IRA OWNER WHEN THE DATE OF DEATH IS ON OR PRIOR TO DECEMBER 31 , 2019 – If you have properly designated a beneficiary(ies), the entire value of your ▇▇▇▇ ▇▇▇ must be distributed to your beneficiaries within five years after your death, unless the designated beneficiary elects in writing, no later than September 30 of the year following the year in which you die, to take distributions over their life expectancy. These distributions must commence no later than December 31 of the calendar year following the calendar year of your death. Your designated beneficiary may name a subsequent beneficiary. Any subsequent beneficiaries must take distributions at least as frequently as the original designated beneficiary, provided the original beneficiary’s date of death is on or prior to December 31, 2019. If you do not properly designate a beneficiary, or all designated beneficiaries have predeceased you, your spouse shall become the beneficiary or, if no surviving spouse or you are unmarried, your beneficiary(ies) shall be determined by the following sequence:
Beneficiary Distributions. Upon your death, your beneficiaries of your ▇▇▇▇ ▇▇▇ Account are required to take distributions pursuant to Sections 401(a)(9) of the IRC and Treasury Regulation 1.408-8. These requirements are summarized as follows:
Beneficiary Distributions. Upon your death, your beneficiaries of your IRA Account are required to take distributions pursuant to Sections 401(a)(9) of the IRC and Treasury Regulation 1.408-8. These requirements are summarized as follows:
Beneficiary Distributions. DEATH OF IRA OWNER ON OR AFTER JANUARY 1, 2020
Beneficiary Distributions. Any amounts remaining in your IRA at your death will be paid to your Beneficiar(ies). The rules that determine the distribution of the IRA balance after your death largely depend on whether the Beneficiary is considered an “eligible designated beneficiary.”