TOD (Transfer on Death) designations, POD (Pay on Death) designations, and beneficiary designations can be useful in the right circumstances. Each of these tools allows for an automatic transfer to the named beneficiary at the death of the owner. But these tools can have a few shortfalls. First, if the named person predeceases the owner, typically it will not be effective to transfer the assets. Sometimes, you could name a contingent beneficiary and then it would go to that person. But, if there … [Read more...] about Beneficiary Designations, etc., Aren’t a True Substitute for a Trust
POD
Beneficiary Designations Are Critical
As estate planning attorneys, we know how beneficiary designations can be an important part of the estate planning process. A large portion of our clients’ wealth is controlled by beneficiary designations. Some of it is in qualified plans. In those plans, the beneficiary designation determines the speed at which distributions must be taken by the beneficiary. Some of the client’s wealth controlled by beneficiary designations may be in life insurance. Some of the wealth may be in financial … [Read more...] about Beneficiary Designations Are Critical
