Common use of Death of Xxxx XXX Owner Clause in Contracts

Death of Xxxx XXX 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. 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 Xxxx XXX for purposes of determining the distribution period. If there is no Designated Beneficiary of your Xxxx XXX, the entire Xxxx XXX must be distributed by December 31 of the year containing the fifth anniversary of your death. A spouse who is the sole Designated Beneficiary of your entire Xxxx XXX will be deemed to elect to treat your Xxxx XXX as his or her own by either (1) making contributions to your Xxxx XXX or (2) failing to timely remove a required minimum distribution from your Xxxx XXX. Regardless of whether or not the spouse is the sole Designated Beneficiary of your Xxxx XXX, a spouse Beneficiary may roll over his or her share of the assets to his or her own Xxxx XXX. 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 Xxxx XXX owner take total distribution of all Xxxx XXX 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 Xxxx XXX 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. 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 Xxxx XXX for purposes of determining the distribution period. If there is no Designated Beneficiary of your Xxxx XXX, the entire Xxxx XXX must be distributed by December 31 of the year containing the fifth anniversary of your death. A spouse who is the sole Designated Beneficiary of your entire Xxxx XXX will be deemed to elect to treat your Xxxx XXX as his or her own by either (1) making contributions to your Xxxx XXX or (2) failing to timely remove a required minimum distribution from your Xxxx XXX. Regardless of whether or not the spouse is the sole Designated Beneficiary of your Xxxx XXX, a spouse Beneficiary may roll over his or her share of the assets to his or her own Xxxx XXX. XXX.‌‌‌ 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 Xxxx XXX owner take total distribution of all Xxxx XXX 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 Xxxx XXX 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. 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 Xxxx XXX for purposes of determining the distribution period. If there is no Designated Beneficiary designated beneficiary of your Xxxx XXX, the entire Xxxx XXX must be distributed by December 31 of the year containing the fifth anniversary of your death. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire Xxxx XXX will be deemed to elect to treat your Xxxx XXX as his or her own by either (1) making contributions to your Xxxx XXX or (2) failing to timely remove a required minimum distribution from your Xxxx XXX. Regardless of whether or not the spouse is the sole Designated Beneficiary designated beneficiary of your Xxxx XXX, a spouse Beneficiary beneficiary may roll over his or her share of the assets to his or her own Xxxx XXX. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a Beneficiary beneficiary of a deceased Xxxx XXX owner take total distribution of all Xxxx XXX assets by December 31 of the year following the year of death. If your Beneficiary 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 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 Xxxx XXX 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. 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 Xxxx XXX for purposes of determining the distribution period. If there is no Designated Beneficiary designated beneficiary of your Xxxx XXX, the entire Xxxx XXX must be distributed by December 31 of the year containing the fifth anniversary of your death. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire Xxxx XXX will be deemed to elect to treat your Xxxx XXX as his or her own by either (1) making contributions to your Xxxx XXX or (2) failing to timely remove a required minimum distribution from your Xxxx XXX. Regardless of whether or not the spouse is the sole Designated Beneficiary designated beneficiary of your Xxxx XXX, a spouse Beneficiary beneficiary may roll over his or her share of the assets to his or her own Xxxx XXX. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a Beneficiary beneficiary of a deceased Xxxx XXX owner take total distribution of all Xxxx XXX assets by December 31 of the year following the year of death. If your Beneficiary 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 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 Xxxx XXX Owner. On or After January 1, 2020 – The - Upon your death, the entire amount remaining in your account IRA Account will generally be distributed by December 31 of the year containing the tenth 10th anniversary of your death unless you have an eligible Designated Beneficiary designated beneficiary under Treasury Regulations or you have no Designated Beneficiary 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 beneficiary is an eligible Designated Beneficiarydesignated beneficiary, the entire amount remaining in your account may IRA Account can 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 exceeding that life expectancy of such Beneficiaryexpectancy). An eligible Designated Beneficiary designated beneficiary under Treasury Regulations is any Designated Beneficiary a designed beneficiary who is • (1) your surviving spouse, • ; (2) your child who has not yet reached the age of majority, • ; (3) disabled (A [determined by a physician must determine that your the impairment can be expected to result in death or to be of long, continued, continued and indefinite duration.), • an individual ]; or (4) chronically ill [defined as someone 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) 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 ] Special rules apply to trust Beneficiaries (e.g., certain trusts beneficiaries and distributions for disabled and chronically ill individuals) may take distribution of the entire amount remaining in your account over the remaining life expectancy of the those trust Beneficiarybeneficiaries. Generally, life Life expectancy distributions to an eligible Designated Beneficiary designated beneficiary must commence begin by December 31 of the year following the year of your death. HoweverIf your spouse, if your spouse however, is the eligible Designated Beneficiarydesignated beneficiary, distributions need not commence begin until December 31 of the year you would have attained reached the age of 72, if later. If your eligible Designated Beneficiary designated beneficiary is your minor child, the life expectancy payments must begin by December 31 of the year following the year of your death and will continue until the your child reaches the age of majority. Once the age of majority is reachedThen, the Beneficiary eligible designated beneficiary will have 10 years from that date to deplete distribute the accountIRA Account. If you name a Beneficiary beneficiary other than a person (e.g.such as a trust, your estateestate or charity), a charity, or a certain type of trust) is named, we will treat you will be treated as having no Designated Beneficiary of not designated a beneficiary for your Xxxx XXX IRA Account 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 Xxxx XXXIRA Account, the entire Xxxx XXX IRA must be distributed by December 31 of the year containing the fifth anniversary date of your death. If you die on or after your required beginning date and there is no designated beneficiary of your IRA Account, distributions will begin 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 Xxxx XXX IRA will be deemed to elect to treat your Xxxx XXX IRA as his or her own by either (1i) making contributions to your Xxxx XXX IRA or (2ii) failing to timely remove a required minimum distribution from your Xxxx XXXIRA. Regardless of whether or not the spouse is the sole Designated Beneficiary designated beneficiary of your Xxxx XXXIRA, a spouse Beneficiary beneficiary may roll over his or her share of the assets to his or her own Xxxx XXX. 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 Xxxx XXX owner take total distribution of all Xxxx XXX assets by December 31 of the year following the year of deathIRA. If your Beneficiary beneficiary fails to remove take 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 beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit pay any additional penalty taxes to the IRS.

Death of Xxxx XXX 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. 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 Xxxx XXX for purposes of determining the distribution period. If there is no Designated Beneficiary designated beneficiary of your Xxxx XXX, the entire Xxxx XXX must be distributed by December 31 of the year containing the fifth anniversary of your death. A spouse who is the sole Designated Beneficiary designated beneficiary of your entire Xxxx XXX will be deemed to elect to treat your Xxxx XXX as his or her own by either (1) making contributions to your Xxxx XXX or (2) failing to timely remove a required minimum distribution from your Xxxx XXX. Regardless of whether or not the spouse is the sole Designated Beneficiary designated beneficiary of your Xxxx XXX, a spouse Beneficiary beneficiary may roll over his or her share of the assets to his or her own Xxxx XXX. If we so choose, for any reason (e.g., due to limitations of our charter or bylaws), we may require that a Beneficiary beneficiary of a deceased Xxxx XXX owner take total distribution of all Xxxx XXX assets by December 31 of the year following the year of death. If your Beneficiary 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 beneficiary must file IRS Form 5329 along with his or her income tax return to report and remit any additional taxes to the IRS.