Naming a Rev Trust as a Beneficiary of an IRA

Good morning,

Client came to me & said their Estate Attorney specifically stated that the beneficiary to the Rev Trust should read “Section 2, Article 4 of the {Client Name} Revocable Trust”. They said that their attorney described that, based on the Secure Acts, there needs to be the specific paragraph in the trust identified, not just naming the trust itself (This is a case of control not taxes).

I have not heard this before, but I am only a Finacial Advisor, not an attorney. Do you agree or disagree with this? Thanks



The only requirement is that the trust must be specifically identified as the IRA beneficiary. If the trust will be a testamentary trust, the beneficiary designation should indicate “trust created in my will” or similar. Of course, if more than one trust will be created, or is already created before death, the trust must be clearly identified in the designation. The Sections, etc of the trust are not required but do no harm if the IRA custodian can support an extended beneficiary designation.

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