Common use of Death of IRA Owner On Clause in Contracts

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary or you have no Designated Beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary is an eligible Designated Beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary (or over a period not extending beyond the life expectancy of such Beneficiary). An eligible Designated Beneficiary is any Designated Beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary will have 10 years to deplete the account. If a Beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by either

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary or you have no Designated Beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary is an eligible Designated Beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary (or over a period not extending beyond the life expectancy of such Beneficiary). An eligible Designated Beneficiary is any Designated Beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary will have 10 years to deplete the account. If a Beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither‌‌

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by either

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained RMD age 72(as described above in the Required Minimum Distributions section above), if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither (1) making contributions to your IRA or (2) failing to timely remove a required minimum distribution from your IRA. Regardless of whether or not the spouse is the sole designated beneficiary of your IRA, a spouse beneficiary may roll over his or her share of the assets to his or her own IRA. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a beneficiary of a deceased IRA owner take total distribution of all IRA assets by December 31 of the year following the year of death. If your beneficiary fails to remove a required minimum distribution after your death, an excess accumulation penalty tax of 25 percent is imposed on the amount of the required minimum distribution that should have been taken but was not. If the failure to take an annual RMD is corrected in a timely manner, the penalty tax is further reduced to 10 percent. Your beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS. The Correction window for the reduced penalty begins on the date the penalty tax is imposed and ends (1) the date a notice of deficiency regarding the tax is mailed, (2) the date the tax is assessed, or (3) the last day of the second taxable year beginning after the year in which the tax is imposed.

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither (1) making contributions to your IRA or (2) failing to timely remove a required minimum distribution from your IRA. Regardless of whether or not the spouse is the sole designated beneficiary of your IRA, a spouse beneficiary may roll over his or her share of the assets to his or her own IRA. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a beneficiary of a deceased IRA owner take total distribution of all IRA assets by December 31 of the year following the year of death. If your beneficiary fails to remove a required minimum distribution after your death, an additional penalty tax of 50 percent is imposed on the amount of the required minimum distribution that should have been taken but was not. Your beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS.

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither (1) making contributions to your IRA or (2) failing to timely remove a required minimum distribution from your IRA. Regardless of whether or not the spouse is the sole designated beneficiary of your IRA, a spouse beneficiary may roll over his or her share of the assets to his or her own IRA. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a beneficiary of a deceased IRA owner take total distribution of all IRA assets by December 31 of the year following the year of death. If your beneficiary fails to remove a required minimum distribution after your death, an additional penalty tax of 50 percent is imposed on the amount of the required minimum distribution that should have been taken but was not. Your beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS.‌‌‌

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained RMD age 72(as described in the Required Minimum Distributions section above), if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither (1) making contributions to your IRA or (2) failing to timely remove a required minimum distribution from your IRA. Regardless of whether or not the spouse is the sole designated beneficiary of your IRA, a spouse beneficiary may roll over his or her share of the assets to his or her own IRA.‌‌‌ If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a beneficiary of a deceased IRA owner take total distribution of all IRA assets by December 31 of the year following the year of death. If your beneficiary fails to remove a required minimum distribution after your death, an excess accumulation penalty tax of 25 percent is imposed on the amount of the required minimum distribution that should have been taken but was not. If the failure to take an RMD is corrected in a timely manner, the penalty tax is further reduced to 10 percent. Your beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS. The correction window for the reduced penalty begins on the date the penalty tax is imposed and ends the earlier of: (1) the date a notice of deficiency regarding the tax is mailed, (2) the date the tax is assessed, or (3) the last day of the second taxable year beginning after the year in which the tax is imposed.

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary, or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your is: ▪ Your surviving spouse, • your spouse ▪ Your child who has not reached the age of majority, • disabled (majority ▪ Disabled A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an duration ▪ An individual who is not more than 10 years younger than you, or • chronically ▪ Chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) . Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither (1) making contributions to your IRA or (2) failing to timely remove a required minimum distribution from your IRA. Regardless of whether or not the spouse is the sole designated beneficiary of your IRA, a spouse beneficiary may roll over his or her share of the assets to his or her own IRA. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a beneficiary of a deceased IRA owner take total distribution of all IRA assets by December 31 of the year following the year of death. If your beneficiary fails to remove a required minimum distribution after your death, an additional penalty tax of 50 percent is imposed on the amount of the required minimum distribution that should have been taken but was not. Your beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS.

Death of IRA Owner On. or After January 1, 2020 – The entire amount remaining in your account will generally be distributed by December 31 of the year containing the tenth anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary or you have no Designated Beneficiary designated beneficiary for purposes of determining a distribution period. This requirement applies to Beneficiaries beneficiaries regardless of whether you die before, on, or after your required beginning date. If your Beneficiary beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may be distributed (in accordance with the Treasury Regulations) over the remaining life expectancy of your eligible Designated Beneficiary designated beneficiary (or over a period not extending beyond the life expectancy of such Beneficiarybeneficiary). An eligible Designated Beneficiary designated beneficiary is any Designated Beneficiary designated beneficiary who is • your surviving spouse, • your child who has not reached the age of majority, • disabled (A physician must determine that your impairment can be expected to result in death or to be of long, continued, and indefinite duration.), • an individual who is not more than 10 years younger than you, or • chronically ill (A chronically ill individual is someone who (1) is unable to perform (without substantial assistance from another individual) at least two activities of daily living for an indefinite period due to a loss of functional capacity, (2) has a level of disability disabi lity similar to the level of disability described above requiring assistance with daily living based on loss of functional capacity, or (3) requires substantial supervision to protect the individual from threats to health and safety due to severe cognitive impairment.) Note that certain trust Beneficiaries beneficiaries (e.g., certain trusts for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the trust Beneficiarybeneficiary. Generally, life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence by December 31 of the year following the year of your death. However, if your spouse is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence until December 31 of the year you would have attained age 72, if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, life expectancy payments must begin by December 31 of the year following the year of your death and continue until the child reaches the age of majority. Once the age of majority is reached, the Beneficiary beneficiary will have 10 years to deplete the account. If a Beneficiary beneficiary other than a person (e.g., your estate, a charity, or a certain type of trust) is named, you will be treated as having no Designated Beneficiary designated beneficiary of your IRA for purposes of determining the distribution period. If you die before your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, the entire IRA must be distributed by December 31 of the year containing the fifth anniversary of your death. If you die on or after your required beginning date and there is no Designated Beneficiary designated beneficiary of your IRA, distributions will commence using your single life expectancy, reduced by one in each subsequent year. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire IRA will be deemed to elect to treat your IRA as his or her own by eithereither (1) making contributions to your IRA or (2) failing to timely remove a required minimum distribution from your IRA. Regardless of whether or not the spouse is the sole designated beneficiary of your IRA, a spouse beneficiary may roll over his or her share of the assets to his or her own IRA. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a beneficiary of a deceased IRA owner take total distribution of all IRA assets by December 31 of the year following the year of death. If your beneficiary fails to remove a required minimum distribution after your death, an additional penalty tax of 50 percent is imposed on the amount of the required minimum distribution that should have been taken but was not. Your beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS.