two life, required min distribution from retirement account if beneficiary is marital trust ,not spouse

Submitted by Joel Schrank on Fri, 2015-04-03 20:01

Can a marital trust with only the wife as immediate beneficiary but ultimate (at her demise )beneficiaries the children, qualify to use dual life tables(reduced rate) for withdrawal rate of required minimum distributions? (wife 11 years younger) Husband 80, wife 68. Retirement accounts (IRA and 401k)are left to marital trust for use of wife until her death.

If the wife is the direct beneficiary of one of 2 or 3 separate 401ks but not for the other accounts, can the dual life tables be used for the RMD in that one, using the single life for the others?

If the wife is the sole beneficaiary of all of the accounts for this year and one or two other years with rmd rates from the dual table for those years and then the beneficiary is changed with a return to the single rate RMD ?



Submitted by Alan - IRA critic on Fri, 2015-04-03 21:21

  1. Yes, the joint life table can be used if the spouse is the sole beneficiary of a trust qualified for look through treatment and there are no trust beneficiaries other than strictly successor beneficiaries. Trust will have to be submitted to the 401k plan administrator for review since the plan controls the RMD determination.
  2. Yes, each plan RMD is based only on the beneficiaries of that plan.
  3. Each year’s RMD is independent of other years while plan owner is alive. Spouse must be sole beneficiary for the entire year except in cases of divorce or death. Marital status based on January 1 status. RMDs might qualify for Joint life table in some years, but not in others.

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