meppwc asked:
I just had a family trust put in place. The attorney that set it up has already put my house in the trust. But now I am confused on how to handle the remainder of my assets. I have the following assets that I need to take action on:
401K Plan (before tax)
CDs (after tax)
Checking Account (after tax)
Savings Account (after tax)
IRA (before tax)
Annuity (before tax)
On all of these items I need to know:
1] What name goes on the account — my name or the trust name
2] What primary benificiary to declare – my children’s names or the trust name
3] What contingent beneficiary to declare — my children’s names or the trust name
Odell Lecocq
I just had a family trust put in place. The attorney that set it up has already put my house in the trust. But now I am confused on how to handle the remainder of my assets. I have the following assets that I need to take action on:
401K Plan (before tax)
CDs (after tax)
Checking Account (after tax)
Savings Account (after tax)
IRA (before tax)
Annuity (before tax)
On all of these items I need to know:
1] What name goes on the account — my name or the trust name
2] What primary benificiary to declare – my children’s names or the trust name
3] What contingent beneficiary to declare — my children’s names or the trust name
Odell Lecocq
1) 401k and IRA (IRA stands for Individual retirement Account) stay in your name. Others are often titled: The Yadda Yadda Family Trust (next line) Whoodie Whoo and Gitter Dunne, trustees. (next line) UAD (stands for Under Agreement Dated) 03 March 2008.
2) As to your beneficiaries, that is up to you. Without knowing the language of the trust, I am unable to advise on that specifically. Go back to your lawyer that drew up the document – or read through it to see how it sets actions in motion upon your, your spouse, or both deaths. Many times that assets stay in the trust, the documents call for a new trustee when the original ones can’t, or don’t want to manage the trust anymore – and many have language right in the document with post-death instructions.
I agree with the above poster: retirement accounts cannot and should not be placed in a trust. You don’t HAVE to place all assets in the trust – its totally up to you based on your particular situation.