GLOSSARY · TAX & ESTATE
Beneficiary designation
The form on a retirement account, life insurance policy or payable-on-death or transfer-on-death account that names who receives it when you die. The account passes to that person directly, outside probate, whatever the will says. A contingent beneficiary receives it if the primary one has died, and in most employer plans a spouse must consent in writing before anyone else is named as primary beneficiary.
Also called: named beneficiary, payable on death, transfer on death, POD, TOD, contingent beneficiary
COMPUTE IT WITH YOUR NUMBERS
LEARN IT PROPERLY
CHAPTER · WEALTH PROTECTION FUNDAMENTALS · FOUNDATIONSBeneficiary DesignationsCHAPTER · LEGACY & PHILANTHROPY PLANNING · STRATEGIESWills, Guardians and the Documents Every Plan NeedsRELATED TERMS
SOURCES
- Publication 559, Survivors, Executors, and Administrators. Internal Revenue Service.
- Egelhoff v. Egelhoff, 532 U.S. 141 (2001). Supreme Court of the United States.
- Publication 590-B, Distributions from Individual Retirement Arrangements. Internal Revenue Service.