Retirement plan benefits: what are the spouse's options?

Article Abstract:

There may be several benefit choices available to the surviving spouse or beneficiary of an participant in an employer-sponsored retirement plan. The most common choices are a life annuity, a lump-sum distribution and an installment payout. The age, health and finances of the surviving spouse will determine the choice. A middle-class survivor wanting a replacement for the deceased's salary may prefer a life annuity. A surviving spouse not needing the funds immediately may wish to consider rollover to an individual retirement account. IRC 4980A taxes large retirement plan distributions at a 15% rate.

Planning, Retirement income

---

Estate planning to avoid complications of remarriage

Article Abstract:

Estate planning for a couple about to remarry involves a balancing of provisions for children, step-children and spouse. A prenuptial agreement could help avert difficulties later on. Such agreements usually involve one spouse's waiver of rights to the income or assets of the other spouse in return for the promise of a payment upon divorce or death. Rights to pension benefits and the marital dwelling will still be issues even if neither spouse is wealthy. Provisions for the children are important since a step-parent will not necessarily care for them the way a biological parent would.

Economic aspects, Prenuptial agreements, Remarriage

---

Uniform Probate Code revises spouses' rights

Article Abstract:

1990 revisions to Article II of the Uniform Probate Code alter the rights of surviving spouses and thus reflect modern social trends. Provisions regarding the spouse's intestate share and elective share have been revised to deal with the increasing incidence of multiple marriages, stepchildren and the estate planning complications these produce. Revised Article II also shows an acceptance of marriage as an equal economic partnership between two people. For example, it gives the surviving spouse more money when the assets were titled disproportionately in favor of the decedent.

Laws, regulations and rules

Similar abstracts:

• Abstracts: The impact of taxes on the value of close corporations. Liquidity planning for shareholders of public corporations

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.