This Handbook provides an overview of federal laws affecting the elderly and retirement issues. Information discussed includes age discrimination in employment, elder abuse & exploitation, power of attorney & guardianship, Social Security and other retirement and pension plans, Medicare, and much more in 22 pages of materials.
Erisa Retirement Plan Who Can Be Beneficiary In Phoenix
Category:
State:
Multi-State
City:
Phoenix
Control #:
US-001HB
Format:
Word;
PDF;
Rich Text
Instant download
Description
Free preview
Form popularity
FAQ
A beneficiary is generally any person or entity the account owner chooses to receive the benefits of a retirement account or an IRA after they die. The owner must designate the beneficiary under procedures established by the plan.
In general, ERISA does not cover plans established or maintained by governmental entities, churches for their employees, or plans which are maintained solely to comply with applicable workers compensation, unemployment or disability laws.
Now that you know what ERISA covers, you'd like to know who can be a beneficiary on an ERISA plan. Generally, an ERISA plan participant can select just about anyone to be their beneficiary. Typically, a plan participant selects their spouse, children, or other family members.
A participant's beneficiary in a qualified retirement plan that is subject to the qualified joint and survivor annuity (QJSA) requirements under the Employee Retirement Income Security Act of 1974 (ERISA) and the Internal Revenue Code (Code) is automatically his surviving spouse, unless the spouse has waived his rights ...
In short: named beneficiaries trump wills. For example, the named beneficiary you list on your life insurance policy will trump the person you leave your life insurance policy to in your Will. It's easy to see why this is incredibly important.
A person that is not an individual, such as the employee's estate, is not a designated beneficiary. If a person other than an individual is a beneficiary designated under the plan, the employee will be treated as having no designated beneficiary, even if individuals are also designated as beneficiaries.
ERISA exempts only two types of employers: Employee benefit plans maintained by governmental employers are exempt from ERISA's requirements. This exemption includes plans maintained by the federal, state or local (for example, a city, county or township) governments. Church plans are also exempt from ERISA.
ERISA stands for Employee Retirement Income Security Act, which is a federal law that sets minimum standards for retirement plans in the private sector. Non-ERISA plans, on the other hand, are not governed by ERISA and are not subject to its regulations.
Under ERISA, each fund is subject to additional requirements and obligations once more than 25 percent of the fund's assets under management (AUM) are subject to ERISA (the 25 percent threshold).
ERISA was implemented to protect the retirement plan assets of workers. It covers most employer-sponsored plans in the private sector.