Life and Death Planning for Retirement Benefits

Appendix B: Forms

505

Use 3.06 if it may be necessary or appropriate for the beneficiary designated under Article II of the Beneficiary Designation Form to delegate investment authority to an investment manager.

3.04 Payments to Minors. If any Beneficiary becomes entitled to any portion of the Death Benefit while under the age of twenty-one (21) years, such Beneficiary’s portion of the Death Benefit shall be instead payable to such Beneficiary’s surviving parent, if any, otherwise to [NAME or DESCRIPTION of proposed custodian, such as “my oldest then living child”], otherwise to some other person selected by my Personal Representative, as custodian for such Beneficiary under the Uniform Transfers to Minors Act, and such custodian shall have the power to act for such Beneficiary in all respects with regard to the benefits to which such Beneficiary is entitled. 3.05 Multiple Beneficiaries. If there are multiple Beneficiaries entitled to ownership of the Death Benefit simultaneously, the Beneficiaries shall be entitled, by written instructions to the Administrator, to have the Death Benefit partitioned into multiple accounts, corresponding to each Beneficiary’s separate interest in the Death Benefit, as of or at any time after my death, to the maximum extent such division is permitted by law to occur without causing a deemed distribution of the Death Benefit. Following such partition the newly created separate accounts shall be maintained as if each were an account in my name payable solely to the applicable Beneficiary; no Beneficiary shall have any further interest in or claim to any portion of the Death Benefit other than the separate account representing such Beneficiary’s interest. 3.06 Allowing Beneficiary to Appoint Investment Manager. The Beneficiary may designate an Investment Manager for its interest in the Death Benefit. Upon receipt of written authorization from the Beneficiary, and until receiving notice that such authorization is revoked, the Administrator shall comply with investment instructions of the Investment Manager in accordance with the Beneficiary’s authorization. The forms in this section are the actual designation of the primary and/or contingent beneficiary. These are designed to be inserted into “Article II” of the Master Beneficiary Designations (Forms 2.1 and 2.2). These forms are not stand-alone documents. Rather, this is a collection of substantive beneficiary designations, from which you can select the one you want, adapt it to your client’s needs, and insert it into another form, for example, one of the Master Beneficiary Designation Forms in Part 2 of this Appendix B . 3.1 Benefits Payable to Spouse, “Disclaimable” to Credit Shelter Trust; Different Contingent Beneficiary Depending on Whether Spouse Predeceases or Disclaims This form might be used by a client who does not have sufficient non-retirement plan assets to fully fund a credit shelter trust, but nevertheless wants to leave the benefits to his spouse and allow the spouse to make the ultimate decision whether to (1) keep the benefits and roll them over to an IRA or (2) disclaim some or all of the benefits and allow them to flow to the credit shelter trust. 3. SAMPLE INSERTS FOR MASTER FORMS