TAX 9873 Lecture Notes - Lecture 7: Plans, Fiduciary, Civil Penalty
Document Summary
A db plan is able to pay annuity directly bc benefits are determined by plan formula. A plan might permit a participant to withdraw only part of his benefits (hardship distribution) Qualified joint & survivor annuity: survivor annuity must be no greater than 100% and no less than 50, plan doc must specifiy survivor annuity % Statutory provision does not specifically require payment of a qjsa to an unmarried participant. If unmarried, most plans not required to honor qjsa. A death benefit is a payment of all or any portion of participants benefit. Post: paid when p dies after payments commenced. Qdro: domestic relations order, alternative payee"s right to receive all or portion of benefits payable to participant under plan. Some plans provide that survivor benefits are not available if couple not married for at least one year. Once participant reaches age 70 , minimum distribution requirements apply!
