Participant Dies after LS Election

[kocak]

Participant and spouse elect to waive the QJSA in a DB plan, and elect a lump sum benefit. Two weeks later (before lump sum payment can be made) participant dies. Assume I don't have a waiver of the QPSA.

I'm thinking the benefit needs to be paid under QPSA now, any thoughts?

Michele

[mbozek]

You need to read the terms of the plan document to determine what happens. One answer is that the LS distribution is payable to the estate of the decedent since the J & S was waived. Another possibility is that the election is recinded because the participant died before the distribution date and the benefits will now be paid to the surviving spouse.