SeanTankarian Posted February 3, 2015 Posted February 3, 2015 Hi does anyone see a drawback to naming your revocable trust as the beneficiary or your IRA or retirement plan? I seem to recall hearing negative things about doing so, but if the trust is the beneficiary, the trust will then direct the distributions. Unless the drawback here is that you're paying a trustee potentially to do the distribution for you instead of e.g. naming both kids as the beneficiaries.
GMK Posted February 3, 2015 Posted February 3, 2015 There are some drawbacks if the trust is not a "see-through" trust. Do a google search. Off hand, a trust as beneficiary might be advisable while the kids are young. Hire a lawyer who is familiar with trusts as beneficiaries.
Calavera Posted February 3, 2015 Posted February 3, 2015 Also need to be sure that beneficiaries of trust are not stuck with 5 year distribution upon death, and can take the distribution over life time.
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