3 thoughts on “WILL vs. IRA BENEFICIARY DESIGNATION: WHO WINS?

  1. Thanks for the post! I’m now in this exact “second marriage situation” and having hard times fixing all those beneficiary designations issues. That was really helpful, thanks.

  2. I read your article today concerning the estate as default beneficiary. This has actually happened to my client. Her Dad failed to name a beneficiary on one of his IRA’s at a local bank. The bank has already cut a check for the full amount to the estate. They have agreed however, to set up a beneficiary IRA for my client if she returns the check, which she will do.
    My question is two-fold; How should the registration be titled for this type of beneficiary IRA since the distributions will be at the decedents life expectancy. (She has a bene IRA already as she was the beneficiary of the rest of his IRA’s.) Also, if the bank does set-up the beneficiary IRA for her, can it then be transferred to another Custodian.
    Thank you for your very informative article.

    • Tom,

      The inherited IRA should be titled “John Doe, deceased, for the benefit to Jimmy Smith”

      Yes, you can change custodians.

      Dave

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