We have a very wealthy client that gives to several charities who is widowed with no kids. Once he passes there will be two non-spouse beneficiaries he would like to give money to and be split 50/50 once the desired amount has been paid to the charities. This will be very complicated to outline via Beneficiary forms and frankly we don’t think it will be executed properly and that is assuming the custodian will even accept it. The question is can we use a Conduit Trust to pay out the charities and then open up two inherited IRAs for the non-spouse beneficiaries so that they can utilize the 10 year RMD rule. Not sure if the Conduit would cause us to lose the 10 year rule and can’t find a clear answer. We do not want to keep the trust open for 10 years. We will really just want to use it to make sure the final wishes are executed properly.

Thanks in advance for any guidance

-Nick