Calendar Pages and Clock

Harmonizing Powers of Appointment With RMDs

Official guidance is needed. Until then, take steps to protect the stretch.

When qualified retirement benefits, such as a profit-sharing account or an individual retirement account, are payable on death to a trust, four requirements must be met to stretch out distributions of those benefits, based on the age of a trust beneficiary.1 If those rules are met, the trust is said to have a “designated beneficiary” for purposes of required minimum distributions (RMDs).

All access premium subscription

Your subscription will include 12 months of Trusts & Estates magazine and access to premium content on WealthManagement.com.

Hide comments


  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.