post death distributions

[k man]

someone please help settle this disagreement concerning distributions. a 40 year old participant in a 401(k) dies. his beneficiary is a designated non-spouse. which rules apply? it is my contention that the new proposed regs apply. specifically the rules concerning a participants death before required beginning date. someone else says this is not applicable since the participant has not reached 70 1/2 and that there is a window period between 70 1/2 and the Required beginning date.

in this case i believe the beneficiary has a choice under the new rules to receive payment in a 1) lump sum; 2) 5 year payout or 3) the beneficiaries life expectancy. is this correct?

[QDROphile]

The plan document should have rules for distributions after death. In these circumstances, you may not even reach the 401(a) (9) rules because of limitations in the terms of the plan. If you do reach the 401(a) (9) rules you need to handle the situation under what is decided for plan terms that comply with 401(a)(9). An inferior plan document may throw you into these questions without providing answers or at least guidance.

[k man]

we use the plan document of a major provider and it covers all the issues. the problem in this office is in interpreting the law (new and old) and the proposed regulations. can you help with this?