Minimum Required Distributions--No Designated Beneficiary

[Randy Watson]

Assume a Participant does not have a designated beneficiary. If he dies prior to his required beginning date his entire interest must be distributed under the 5-year rule. What if he dies after his required beginning date? Does the 5 year rule apply there as well?

[jpod]

no

[Randy Watson]

no

So pay it out at least as rapidly as it was being paid out (assuming the plan doc doesn't require it to be paid out sooner)?

[jevd]

Regulations require that the benefit be paid out based on the non-recalculated life expectancy of the deceased account owner as of the year of death. 1.401(a)(9)-5 Q & A 5 ©(3)

Annotated Regulations

Here

[Guest Sieve]

In the absence of a signed beneficiary designation form, remember that there is a designated beneficiary based on the plan's provisions that are applicable when there is no beneficiary designation form. (Treas. Reg. Section 1.401(a)(9)-4, Q&A-2.)

[jevd]

In the absence of a signed beneficiary designation form, remember that there is a designated beneficiary based on the plan's provisions that are applicable when there is no beneficiary designation form. (Treas. Reg. Section 1.401(a)(9)-4, Q&A-2.)

Agreed. But if it turns out that the estate becomes the beneficiary then my previous post applies.

[Guest Sieve]

Correct.