Minimum Distribution From Tax-Favored Retirement Plans
- § 8.01 Overview of Required Minimum Distributions
- —–[1] Required Beginning Date for Minimum Distributions (RBD)
- —–[2] Minimum Distribution Requirements for Annuities
- —–[3] Minimum Distribution Requirements for Non-Annuities
- —–[4] Distributions Not Taken into Account
- —–[5] Distribution Under a QDRO
- —–[6] IRA Ownership Election by Surviving Spouse
- —–[7] Aggregation of Plans, IRAs, or Roth IRAs
- —–[8] Division of Plans, IRAs, or Roth IRAs
- —–[9] Source of Funds for Distributions
- —-[10] Suspension of Minimum Distribution for 2009
- § 8.02 Required Beginning Date for Minimum Distributions (RBD)
- § 8.03 Minimum Distribution Requirements for Annuities
- —–[1] Minimum Distribution Requirements for Annuities in General
- ———-[a] Satisfying Minimum Distribution Requirements
- ———-[b] Satisfying Initial Minimum Distribution Requirement for Annuities
- ———-[c] Annuity Beginning Too Late to Satisfy Initial Minimum Distribution Requirements
- ———-[d] Annuity Starting before Required Beginning Date (RBD)
- —–[2] Requirements Applicable to Fixed Term Annuities
- ———-[a] Satisfying Requirements Applicable to Fixed Term Annuities
- ———-[b] If Spouse Is Sole Beneficiary
- ———-[c] Payments Starting Before the Required Beginning Date (RBD)
- ———-[d] Retiree Dies before the Required Beginning Date (RBD)
- —–[3] Requirements Applicable to Lifetime Annuities
- ———-[a] When Requirements Applicable to Lifetime Annuities Automatically Satisfied
- ———-[b] Payments to Younger Nonspouse Beneficiary
- ———-[c] Minor or Disabled Child
- ———-[d] Payments Guaranteed for Fixed Term Under a Lifetime Annuity
- —–[4] Annuity Payments that Increase Over Time
- ———-[a] Increases Allowed by Tax Law
- ———-[b] Additional Exceptions for Purchased Annuities
- ———-[c] Additional Exceptions for Certain Annuities Paid by a Defined Benefit Plan
- —–[5] Changing the Annuity Payment Period
- —–[6] Insurance Company Annuity Purchased by Plan or IRA
- —–[7] Additional Rules for Annuities Under Defined Benefit Plans
- ———-[a] Accrual of Additional Benefits
- ———-[b] Retirement After Age 70 ½
- ———-[c] Lump Sum Distribution in Lieu of Annuity
- § 8.04 Minimum Distribution Requirements for Non-Annuities
- —–[1] Required Non-Annuity Distributions to the Retiree
- ———-[a] When Required Non-Annuity Distributions Must Be Made
- ———-[b] Distributions to Retiree Based on Adjusted Account Balance
- —————[i] Determination of Adjusted Account Balance
- —————[ii] Adjusted Account Balance for a Qualified Retirement Plan
- —————[iii] Adjustment of Account Balance for Certain Subsequent Year Events
- ———-[c] Computation of Retiree’s Required Minimum Distribution
- —————[i] Formula to Compute Retiree’s Required Minimum Distribution
- —————[ii] Liberal Non-Annuity Distribution Rule for Married Retiree
- —————[iii] Treatment of Unvested Benefits
- —–[2] Required Non-Annuity Distributions to Beneficiaries
- ———-[a] Requirements Depend on Identity of Designated Beneficiaries
- —————[i] Identifying Designated Beneficiaries
- —————[ii] The Oldest Designated Beneficiary
- —————[iii] Beneficiaries that Are Not Individuals
- ———-[b] Death of the Retiree on or after the Required Beginning Date (RBD)
- —————[i] Payment of Retiree’s Unpaid Distribution After Death of Retiree
- —————[ii] No Designated Beneficiary
- —————[iii] Spouse as Sole Designated Beneficiary
- —————[iv] Other Designated Beneficiaries
- ———-[c] Death of the Retiree Before the Required Beginning Date (RBD)
- —————[i] Methods for Satisfying Minimum Distribution Requirements
- —————[ii] The Five-Year Rule
- —————[iii] The Life Expectancy Rule
- ——————–[A] When the Life Expectancy Rule Applies
- ——————–[B] Spouse as Sole Designated Beneficiary
- ——————–[C] Other Designated Beneficiaries
- —————[iv] Spouse Dies before Minimum Distributions Required
- —————[v] Choice of Distribution Rule by Spouse Who is Sole Beneficiary
- ——————–[A] Considerations Affecting Choice of Distribution
- ——————–[B] Death in Calendar Year before Year Attaining Age 65 ½
- ——————–[C] Death in Calendar Year Attaining Age 65 ½ or Subsequent Years
- —————[vi] Distribution Rules when Spouse Not the Sole Beneficiary
- ——————–[A] Factors Affecting the Choice of a Distribution Rule
- ——————–[B] Special Rule for Beneficiary Rollover from Plan to Inherited IRA
- —————[vii] Qualifying the Surviving Spouse as the Sole Beneficiary
- —————[viii] Death of the Oldest Designated Beneficiary
- ———-[d] Use of Trusts to Provide for Beneficiaries
- —————[i] Advantages of Using a Trust for Beneficiaries
- —————[ii] Designated Beneficiary Exception for Certain Trusts
- —————[iii] Use of Conduit or Grantor Trusts
- —————[iv] Use of Other Trusts with Identifiable Beneficiaries
- —————[v] Use of Powers of Appointment
- —————[vi] Trust with Non-Individual Beneficiary
- —————[vii] Separate Accounts, Separate Trusts, and Sub-Trusts
- —————[viii] Special Needs Trusts: Structuring and Funding
- —————[ix] Identifying Trust Beneficiaries’ with an Interest in a Plan or Arrangement
- —————[x] Eliminating Beneficiaries Before Finally Determining Designated Beneficiaries
- —————[xi] Payment by a Trust of Estate’s Expenses, Creditors, and Taxes
- —————[xii] Taxation of Retirement Benefits to Trusts and Their Beneficiaries
- ——————–[A] Trust Tax Accounting in General
- ————————-[I] Simple Trusts, Complex Trusts, and Other Trusts
- ————————-[II] Income for Trust Accounting Purposes
- ————————-[III] Distributable Net Income (DNI)
- ——————–[B] Taxation of Simple Trusts and Their Beneficiaries
- ——————–[C] Taxation of Complex Trusts and their Beneficiaries
- ————————-[I] Trust Deduction for Distributions to Beneficiaries
- ————————-[II] Amount and Character of Distributions to Beneficiaries
- ————————-[III] Treatment of Charitable Contributions Paid by Complex Trust
- ————————-[IV] Treatment of Separate Shares as Separate Trusts
- ——————–[D] Distributions within 65 Days after the End of a Taxable Year
- ——————–[E] Transfer by a Trust of Beneficial Interest in an IRA or Other Plan
- —————[xiii] Use of Charitable Remainder Trusts
- ———-[e] Minimum Distributions for Successor Beneficiaries
- ———-[f] Trusteed IRA as Alternative to Naming Trust as Beneficiary
- —–[3] Distributions in Excess of Required Minimum Distribution
- —–[4] Annuity Starting After Date Minimum Distributions Required
- ———-[a] General Treatment of Late-Starting Annuity
- ———-[b] Qualified Longevity Annuity Contract (QLAC)
- —————[i] Qualifying Longevity Annuity Contracts (QLACs) in General
- ——————–[A] Purpose and Availability of QLACs
- ——————–[B] Definition of a QLAC
- ——————–[C] Advantages of a QLAC
- ——————–[D] The Dollar and Percentage Limitations on QLAC Premiums
- —————[ii] Surviving Spouse as Sole Beneficiary of a QLAC
- —————[iii] Surviving Spouse Not Sole Beneficiary of a QLAC
- —————[iv] Coordination with Required Spousal Annuity Rules
- —————[v] Separate Accounts for QLAC Beneficiaries
- —————[vi] Planning with Rollovers and Roth Conversions
- ——————–[A] Planning with Ordinary Rollovers
- ——————–[B] Planning with Roth Conversions and Rollovers
- —–[5] Valuation of Illiquid Investments
- § 8.05 Problematic Distributions/Transfers for Minimum Distribution Purposes
- —–[1] Trustee-to-Trustee Transfers
- —–[2] Indirect Rollovers
- —–[3] Other Distributions
- § 8.06 Aggregation or Division of Qualified Retirement Plans, IRAs or Roth IRAs
- —–[1] Minimum Distributions Must Generally Be Determined Separately
- —–[2] Meaning of Separate Accounts
- —–[3] Advantages of Separate Accounts for Beneficiaries
- —–[4] Divisions of Plan Accounts and Inherited IRAs Held by Trusts
- —–[5] Separate Accounts Not Available for Plan or IRA with Estate as Beneficiary
- § 8.07 Source of Funds Used to Make Minimum Distributions
- § 8.08 Effect of QDROs on Minimum Distributions
- —–[1] QDROs and Minimum Distributions Generally
- —–[2] Payment Delays Due to QDRO Determinations or Insurance Company Insolvency
- § 8.09 Minimum Distributions if Surviving Spouse Elects Ownership of IRA or Roth IRA
- —–[1] Requirements and Consequences of a Spousal Ownership Election
- —–[2] Using the Ownership Election to Defer Income Taxes
- —–[3] Spouse Younger than Retiree Who Dies on or After Required Beginning Date (RBD)
- —–[4] Spouse Younger than 66 ½ and Retiree Dies Before Required Beginning Date (RBD)
- —–[5] Surviving Spouse Younger than Retiree in Other Situations
- —–[6] Surviving Spouse Older than Retiree
- —–[7] Spousal Ownership of Roth IRAs
- —–[8] Ownership Election for Young Spouse Who Needs Income?
- —–[9] Alternative Where IRA (or Roth IRA) Ownership Election Not Available
- —-[10] Alternative for Funds Rolled Over from Employer Plans to IRAs
- § 8.10 Effect of Disclaimers on Required Minimum Distributions
- —–[1] Qualified Disclaimers of Interests in Plans and Arrangements
- —–[2] Using Qualified Disclaimers to Plan Minimum Distributions
- § 8.11 Suspension of Minimum Distribution Requirements for 2009
» Chapter 9 – UNFUNDED NONQUALIFIED EMPLOYER PLANS