Trust as an IRA beneficiary
Can someone help with this question. If I name my see through trust as my IRA beneficiary what happens to the remaining funds in the Ira if the beneficiary named in the see through trust dies before all of the money is withdrawn from the IRA. Who becomes the new beneficiary. I am to name a secondary beneficiary when I establish the trust? Thank you
Permalink Submitted by Alan - IRA critic on Sat, 2019-12-14 04:35
Yes, the trust should name remainder and/or successor beneficiaries in the trust document. And you need to decide what powers the trustee will have including whether or not the trust can be terminated.
Permalink Submitted by Michael Gregory on Sat, 2019-12-14 12:31
how will the RMD’s be calculated in the see through trust once the primary beneficiary dies As stated above.
Permalink Submitted by Alan - IRA critic on Sat, 2019-12-14 17:05
The age of the oldest beneficiary of the trust including any remainder beneficiaries (who are not merely successor beneficiaries) will apply. If a charity is included it must be paid off by 9/30 of the year following the year of death.