Life and Death Planning for Retirement Benefits

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Life and Death Planning for Retirement Benefits

something that needs to be inserted or completed by the drafter. All forms are meant to be modified by the estate planner as needed for a particular client. Sample beneficiary designation forms are followed by sample trust clauses and miscellaneous other forms.

1. SIMPLE BENEFICIARY DESIGNATION FORM

1.1. Simple Designation: Spouse, Then Issue

This form may be suitable for a client who wants to leave benefits outright to his spouse if living, otherwise to his children equally (and issue of deceased children). This form is included primarily for use with (1) retirement plans that are of relatively small value and (2) retirement plans that already contain, in the plan documents, the estate plan-friendly additional provisions included in the longer Master Beneficiary Designation forms (2.1, 2.2, 2.3). If the benefit is of substantial value, and the plan documents do not have provisions dealing with the important estate planning issues covered in the longer forms, it would be advisable to use the longer forms.

DESIGNATION OF BENEFICIARY

TO:

[Name of IRA or Roth IRA Provider or Plan Administrator]

FROM:

[Name of Participant]

RE:

[IRA or Roth IRA No._____] or [or Name of Plan]

1. I hereby designate as my beneficiary, my spouse, [SPOUSE NAME], to receive all benefits payable under the above [account] [plan] in the event of my death. My spouse’s address and phone number are [INSERT CONTACT INFORMATION]. 2. If my spouse does not survive me, I designate as my beneficiaries, in equal shares, such of my children as shall survive me; provided, that if any of my children does not survive me, but leaves issue surviving me, such issue shall take the share such deceased child would have taken if living, by right of representation. My children are [INSERT NAMES AND CONTACT INFORMATION]. Any benefits becoming distributable to a person under the age of twenty-one (21) years shall be distributed to such person’s surviving parent, if any, otherwise to [NAME or DESCRIPTION of proposed custodian, such as “my oldest then living child”], as custodian for such person under the Uniform Transfers to Minors Act. Such custodian shall be entitled to act for the minor in all respects with regard to the benefits. [Alt. 2: pay minor’s benefits to a trust; the drafter must make sure the trust instrument has suitable provision to receive this payment and hold it for the particular minor beneficiary who is entitled to it] 3. Any benefits becoming distributable to a person under the age of twenty-one (21) years shall be distributed to the Trustee then serving as such under the [NAME OF TRUST] created by [Agreement/Declaration/Instrument/my Will] dated [date of trust instrument] [optional:, a [Alt. 1: pay minor’s benefits to a custodian] 3.