Common use of Death Before Required Beginning Date Clause in Contracts

Death Before Required Beginning Date. If, prior to the Participant’s death, the Participant has not started to take his or her Required Minimum Distributions and the Participant has properly designated a beneficiary(ies), the entire value of the Participant’s Account must be distributed to the Participant’s beneficiaries within five years after the Participant’s death, unless the designated beneficiary elects in writing, no later than September 30th of the year following the year in which the Participant dies, to take distributions over his or her life expectancy. These distributions must commence no later than December 31st of the calendar year following the calendar year of the Participant’s death. However, if the Participant’s spouse is the Participant’s sole beneficiary, these distributions are not required to commence until the December 31st of the calendar year the Participant would have attained age 70½, if that date is later than the required commencement date in the previous sentence. If the Participant dies before his or her Required Beginning Date and the Participant does not have a designated beneficiary, the balance in the Participant’s Account must be distributed no later than the December 31st of the calendar year that contains the fifth anniversary of the Participant’s death.