Life and Death Planning for Retirement Benefits

486

at the time of my death such Beneficiary’s share shall not be paid to such Beneficiary outright,

but shall instead be paid to the trustee then serving as such under the separate trust established

for such Beneficiary’s benefit under Article [NUMBER] of the [TRUST NAME] Trust, dated

[TRUST DATE], a copy of which is attached hereto, to be held, administered, and distributed

for the benefit of such Beneficiary as provided therein.

3.7 Different Beneficiaries for Roth, Traditional, Accounts

See

A) for why a client may want to name different beneficiaries (or different contingent

beneficiaries, as in this Form 3.7) for his “traditional” and “designated Roth” (DRAC; see

accounts in a single 401(k), 403(b), or 457 plan at his place of employment. This form provides

an example of such a bifurcated beneficiary designation. Be aware, however, that the plan may not

be willing to accept this type of split beneficiary designation, since it increases the burden on the

plan administrator.

This form is not suitable for an IRA. With an IRA, the

entire account

is either a traditional or a

Roth IRA. You need a separate beneficiary designation form for

each IRA

, but you could not have

different beneficiary designations for different portions of a single IRA.

II. Designation of Beneficiary

I hereby designate my Primary and Contingent Beneficiaries for my “Roth” and

“traditional” accounts in the Plan:

A. I hereby designate, as my Primary Beneficiary with respect to my “designated Roth

account” in the plan, to receive 100% of the Death Benefit with respect to said account, my

spouse [SPOUSE NAME], if my said spouse survives me, and as my Contingent Beneficiary

(to take said account if my said spouse does not survive me, or to the extent my said spouse

disclaims the benefits), my issue surviving me, by right of representation.

B. I hereby designate, as my Primary Beneficiary with respect to any and all other accounts

I have in the plan, to receive 100% of the Death Benefit with respect to said accounts, my

spouse [SPOUSE NAME], if my said spouse survives me, and as my Contingent Beneficiary

(to take said account(s) if my said spouse does not survive me, or to the extent my said spouse

disclaims the benefits), [NAME OF CHARITY], for its general charitable purposes.

3.8 Formula Gift with Reference to Outside Fiduciary

See the “Checklist: Drafting the Beneficiary Designation,” Question 4(C), p.

Pair this with

Form 5.2.

II. Designation of Beneficiary

I hereby designate as my Primary Beneficiaries, to receive 100% of the Death Benefit,

the following persons in the following proportions:

To the trustee then serving of the [NAME OF TRUST], under Agreement of Trust

dated _______________, a copy of which is attached hereto (hereinafter, the “Trust”), I leave