EXHIBIT 14.1
THE JEFFERSON FUNDS
TRADITIONAL INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT
The following constitutes an agreement establishing an Individual Retirement
Account (under Section 408(a) of the Internal Revenue Code) between the
Depositor and the Custodian.
ARTICLE I
The Custodian may accept additional cash contributions on behalf of the
Depositor for a tax year of the Depositor. The total cash contributions are
limited to $2,000 for the tax year unless the contribution is a rollover
contribution described in Section 402(c) (but only after December 31, 1992),
403(a)(4), 403(b)(8), 408(d)(3), or an employer contribution to a simplified
employee pension plan as described in Section 408(k). Rollover contributions
before January 1, 1993, include rollovers described in Section 402(a)(5),
402(a)(6), 402(a)(7), 403(a)(4), 403(b)(8), 408(d)(3), or an employer
contribution to a simplified employee pension plan as described in Section
408(k).
ARTICLE II
The Depositor's interest in the balance in the custodial account is
nonforfeitable.
ARTICLE III
1. No part of the custodial funds may be invested in life insurance contracts,
nor may the assets of the custodial account be commingled with other property
except in a common trust fund or common investment fund (within the meaning of
Section 408(a)(5)).
2. No part of the custodial funds may be invested in collectibles (within the
meaning of Section 408(m)) except as otherwise permitted by Section 408(m)(3)
which provides an exception for certain gold and silver coins and coins issued
under the laws of any state.
ARTICLE IV
1. Notwithstanding any provision of this agreement to the contrary, the
distribution of the Depositor's interest in the custodial account shall be made
in accordance with the following requirements and shall otherwise comply with
Section 408(a)(6) and Proposed Regulations Section 1.408-8, including the
incidental death benefit provisions of Proposed Regulations Section 1.401(a)(9)-
2, the provisions of which are herein incorporated by reference.
2. Unless otherwise elected by the time distributions are required to begin to
the Depositor under Item 3, or to the surviving spouse under Item 4, other than
in the case of a life annuity, life expectancies shall be recalculated annually.
Such election shall be irrevocable as to the Depositor and the surviving spouse
and shall apply to all subsequent years. The life expectancy of a nonspouse
beneficiary may not be recalculated.
3. The Depositor's entire interest in the custodial account must be, or begin
to be, distributed by the Depositor's required beginning date, April 1 following
the calendar year end in which the Depositor reaches age 70 1/2. By that date,
the Depositor may elect, in a manner acceptable to the Custodian, to have the
balance in the custodial account distributed in:
(a) A single sum payment.
(b) An annuity contract that provides equal or substantially equal monthly,
quarterly, or annual payments over the life of the Depositor.
(c) An annuity contract that provides equal or substantially equal monthly,
quarterly, or annual payments over the joint and last survivor lives of the
Depositor and his or her designated beneficiary.
(d) Equal or substantially equal annual payments over a specified period that
may not be longer than the Depositor's life expectancy.
(e) Equal or substantially equal annual payments over a specified period that
may not be longer than the joint life and last survivor expectancy of the
Depositor and his or her designated beneficiary.
4. If the Depositor dies before his or her entire interest is distributed to
him or her, the entire remaining interest will be distributed as follows:
(a) If the Depositor dies on or after distribution of his or her interest has
begun, distribution must continue to be made in accordance with Item 3.
(b) If the Depositor dies before distribution of his or her interest has begun,
the entire remaining interest will, at the election of the Depositor or, if the
Depositor has not so elected, at the election of the beneficiary or
beneficiaries, either:
(i) Be distributed by the December 31 of the year containing the fifth
anniversary of the Depositor's death, or
(ii) Be distributed in equal or substantially equal payments over the life or
life expectancy of the designated beneficiary or beneficiaries starting by
December 31 of the year following the year of the Depositor's death. If,
however, the beneficiary is the Depositor's surviving spouse, then this
distribution is not required to begin before December 31 of the year in which
the Depositor would have turned age 70 1/2.
(c) Except where distribution in the form of an annuity meeting the
requirements of Section 408(b)(3) and its related regulations has irrevocably
commenced, distributions are treated as having begun on the Depositor's required
beginning date, even though payments may actually have been made before that
date.
(d) If the Depositor dies before his or her entire interest has been
distributed and if the beneficiary is other than the surviving spouse, no
additional cash contributions or rollover contributions may be accepted in the
account.
5. In the case of a distribution over life expectancy in equal or
substantially equal annual payments, to determine the minimum annual payment for
each year, divide the Depositor's entire interest in the custodial account as of
the close of business on December 31 of the preceding year by the life
expectancy of the Depositor (or the joint life and last survivor expectancy of
the Depositor and the Depositor's designated beneficiary, or the life expectancy
of the designated beneficiary, whichever applies). In the case of distributions
under Item 3, determine the initial life expectancy (or joint life and last
survivor expectancy) using the attained ages of the Depositor and designated
beneficiary as of their birthdays in the year the Depositor reaches age 70 1/2.
In the case of a distribution in accordance with Item 4(b)(ii), determine life
expectancy using the attained age of the designated beneficiary as of the
beneficiary's birthday in the year distributions are required to commence.
6. The owner of two or more individual retirement accounts may use the
alternative method described in Notice 88-38, 1988-1 C.B. 524, to satisfy the
minimum distribution requirements described above. This method permits an
individual to satisfy these requirements by taking from one individual
retirement account the amount required to satisfy the requirement for another.
ARTICLE V
1. The Depositor agrees to provide the Custodian with information necessary
for the Custodian to prepare any reports required under Section 408(i) and
Regulations Section 1.408-5 and 1.408-6.
2. The Custodian agrees to submit reports to the Internal Revenue Service and
the Depositor prescribed by the Internal Revenue Service.
ARTICLE VI
Notwithstanding any other articles which may be added or incorporated, the
provisions of Articles I through III and this sentence will be controlling. Any
additional articles that are not consistent with Section 408(a) and related
regulations will be invalid.
ARTICLE VII
This agreement will be amended from time to time to comply with the provisions
of the Code and related regulations.
ARTICLE VIII
1. Investment of Account Assets
(a) All contributions to the custodial account shall be invested in the shares
of the Jefferson Growth & Income Fund or, if available, any other series of
Jefferson Growth & Income Fund or other regulated investment companies for which
Uniplan, Inc. serves as Investment Advisor or designates as being eligible for
investment (Investment Company). Shares of stock of an Investment Company shall
be referred to as Investment Company Shares. To the extent that two or more
funds are available for investment, contributions shall be invested in
accordance with the Depositor's investment election.
(b) Each contribution to the custodial account shall identify the Depositor's
account number and be accompanied by a signed statement directing the investment
of that contribution. The Custodian may return to the Depositor, without
liability for interest thereon, any contribution which is not accompanied by
adequate account identification or an appropriate signed statement directing
investment of that contribution.
(c) Contributions shall be invested in whole and fractional Investment Company
Shares at the price and in the manner such shares are offered to the public. All
distributions received on Investment Company Shares, including both dividend and
capital gain distributions, held in the custodial account shall be reinvested in
like shares. If any distribution of Investment Company Shares may be received in
additional like shares or in cash or other property, the Custodian shall elect
to receive such distribution in additional like Investment Company Shares.
(d) All Investment Company Shares acquired by the Custodian shall be registered
in the name of the Custodian or its nominee. The Depositor shall be the
beneficial owner of all Investment Company Shares held in the custodial account
and the Custodian shall not vote any such shares, except upon written direction
of the Depositor, timely received, in a form acceptable to the Custodian. The
Custodian agrees to forward to the Depositor each prospectus, report, notice,
proxy and related proxy soliciting materials applicable to Investment Company
Shares held in the custodial account received by the Custodian.
(e) The Depositor may, at any time, by written notice to the Custodian, in a
form acceptable to the Custodian, redeem any number of shares held in the
custodial account and reinvest the proceeds in the shares of any other
Investment Company upon the terms and within the limitations imposed by then
current prospectus of such other Investment Company in which the Depositor
elects to invest. By giving such instructions, the Depositor will be deemed to
have acknowledged receipt of such prospectus. Such redemptions and reinvestments
shall be done at the price and in the manner such shares are then being redeemed
or offered by the respective Investment Companies.
2. Amendment and Termination
(a) Uniplan, Inc., the Investment Advisor for Jefferson Growth & Income Fund,
may amend the Custodial Account (including retroactive amendments) by delivering
to Custodian and to the Depositor written notice of such amendment setting forth
the substance and effective date of the amendment. The Custodian and the
Depositor shall be deemed to have consented to any such amendment not objected
to in writing by the Custodian or Depositor as applicable within thirty (30)
days of receipt of the notice, provided that no amendment shall cause or permit
any part of the assets of the custodial account to be diverted to purposes other
than for the exclusive benefit of the Depositor or his or her beneficiaries.
(b) The Depositor may terminate the custodial account at any time by delivering
to the Custodian a written notice of such termination.
(c) The custodial account shall automatically terminate upon distribution to
the Depositor or his or her beneficiaries of its entire balance.
3. Taxes and Custodial Fees
Any income taxes or other taxes levied or assessed upon or in respect of the
assets or income of the custodial account and any transfer taxes incurred shall
be paid from the custodial account. All administrative expenses incurred by the
Custodian in the performance of its duties, including fees for legal services
rendered to the Custodian, in connection with the custodial account, and the
Custodian's compensation shall be paid from the custodial account, unless
otherwise paid by the Depositor or his or her beneficiaries. Sufficient shares
will be liquidated from the custodial account to pay such fees and expenses.
The Custodian's fees are set forth in a schedule provided to the Depositor.
Extraordinary charges resulting from unusual administrative responsibilities not
contemplated by the schedule will be subject to such additional charges as will
reasonably compensate the Custodian. Fees for refund of excess contributions,
transferring to a successor trustee or custodian, or redemption/reinvestment of
Investment Company Shares will be deducted from the refund or redemption
proceeds and the remaining balance will be remitted to the Depositor, or
reinvested or transferred in accordance with the Depositor's instructions.
4. Reports and Notices
(a) The Custodian shall keep adequate records of transactions it is required to
perform hereunder. After the close of each calendar year, the Custodian shall
provide to the Depositor or his or her legal representative a written report or
reports reflecting the transactions effected by it during such year and the
assets and liabilities of the Custodial Account at the close of the year.
(b) All communications or notices shall be deemed to be given upon receipt by
the Custodian at: Firstar Trust Company, P.O. Box 701, Milwaukee, Wisconsin
53201-0701 or the Depositor at his or her most recent address shown in the
Custodian's records. The Depositor agrees to advise the Custodian promptly, in
writing, of any change of address.
5. Designation of Beneficiary
The Depositor may designate a beneficiary or beneficiaries to receive benefits
from the custodial account in the event of the Depositor's death. In the event
the Depositor has not designated a beneficiary, or if all beneficiaries shall
predecease the Depositor, the following persons shall take in the order named:
(a) The spouse of the Depositor;
(b) If the spouse shall predecease the Depositor or if the Depositor does not
have a spouse, then to the Depositor's estate.
The Depositor may also change or revoke any previously made designation of
beneficiary. A designation or change or revocation of a designation shall be
made by written notice in a form acceptable to and filed with the Custodian,
prior to the complete distribution of the balance in the custodial account. The
last such designation on file at the time of the Depositor's death shall govern.
If a beneficiary dies after the Depositor, but prior to receiving his or her
entire interest in the custodial account, the remaining interest in the
custodial account shall be paid to the beneficiary's estate.
6. Multiple Individual Retirement Accounts
In the event the Depositor maintains more than one individual retirement account
(as defined in Section 408(a)) and elects to satisfy his or her minimum
distribution requirements described in Article IV above by making a distribution
for another individual retirement account in accordance with Item 6 thereof, the
Depositor shall be deemed to have elected to calculate the amount of his or her
minimum distribution under this custodial account in the same manner as under
the individual retirement account from which the distribution is made.
7. Inalienability of Benefits
The benefits provided under this custodial account nor the assets held therein
shall be subject to alienation, assignment, garnishment, attachment, execution
or levy of any kind and any attempt to cause such benefits or assets to be so
subjected shall not be recognized except to the extent as may be required by
law.
8. Rollover Contributions and Transfers
The Custodian shall have the right to receive rollover contributions and to
receive direct transfers from other custodians or trustees. All contributions
must be made in cash or check.
9. Conflict in Provisions
To the extent that any provisions of this Article VIII shall conflict with the
provisions of Articles IV, V and/or VII, the provisions of this Article VIII
shall govern.
10. Applicable State Law
This custodial account shall be construed, administered and enforced according
to the laws of the State of Wisconsin.
11. Resignation or Removal of Custodian
The Custodian may resign at any time upon thirty (30) days notice in writing to
the Investment Company. Upon such resignation, the Investment Company shall
notify the Depositor, and shall appoint a successor custodian under this
Agreement. The Depositor or the Investment Company at any time may remove the
Custodian upon 30 days written notice to that effect in a form acceptable to and
filed with the Custodian. Such notice must include designation of a successor
custodian. The successor custodian shall satisfy the requirements of Section
408(h) of the Code. Upon receipt by the Custodian of written acceptance of such
appointment by the successor custodian, the Custodian shall transfer and pay
over to such successor the assets of and records relating to the Custodial
Account. The Custodian is authorized, however, to reserve such sum of money as
it may deem advisable for payment of all its fees, compensation, costs and
expenses, or for payment of any other liability constituting a charge on or
against the assets of the Custodial Account or on or against the Custodian, and
where necessary may liquidate shares in the Custodial Account for such payments.
Any balance of such reserve remaining after the payment of all such items shall
be paid over to the successor Custodian. The Custodian shall not be liable for
the acts or omissions of any predecessor or successor custodian or trustee.
12. Limitation on Custodian Responsibility
The Custodian will not under any circumstances be responsible for the timing,
purpose or propriety of any contribution or of any distribution made hereunder,
nor shall the Custodian incur any liability or responsibility for any tax
imposed on account of any such contribution or distribution. Further, the
custodian shall not incur any liability or responsibility in taking or omitting
to take any action based on any notice, election, or instruction or any written
instrument believed by the Custodian to be genuine and to have been properly
executed. The Custodian shall be under no duty of inquiry with respect to any
such notice, election, instruction, or written instrument, but in its discretion
may request any tax waivers, proof of signatures or other evidence which it
reasonably deems necessary for its protection. The Depositor and the successors
of the Depositor including any executor or administrator of the Depositor shall,
to the extent permitted by law, indemnify the Custodian and its successors and
assigns against any and all claims, actions or liabilities of the Custodian to
the Depositor or the successors or beneficiaries of the Depositor whatsoever
(including without limitation all reasonable expenses incurred in defending
against or settlement of such claims, actions or liabilities) which may arise in
connection with this Agreement or the Custodial Account, except those due to the
Custodian's own bad faith, gross negligence or willful misconduct. The Custodian
shall not be under any duty to take any action not specified in this Agreement,
unless the Depositor shall furnish it with instructions in proper form and such
instructions shall have been specifically agreed to by the Custodian, or to
defend or engage in any suit with respect hereto unless it shall have first
agreed in writing to do so and shall have been fully indemnified to its
satisfaction.
XXXX INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT
The following constitutes an agreement establishing a Xxxx XXX (under Section
408A of the Internal Revenue Code) between the depositor and the custodian.
ARTICLE I
1. If this Xxxx XXX is not designated as a Xxxx Conversion IRA, then, except
in the case of a rollover contribution described in Section 408A(e), the
custodian will accept only cash contributions and only up to a maximum amount of
$2,000 for any tax year of the depositor.
2. If this Xxxx XXX is designated as a Xxxx Conversion IRA, no contributions
other than IRA Conversion Contributions made during the same tax year will be
accepted.
ARTICLE II
The $2,000 limit described in Article I is gradually reduced to $0 between
certain levels of adjusted gross income (AGI). For a single depositor, the
$2,000 annual contribution is phased out between AGI of $95,000 and $110,000;
for a married depositor who files jointly, between AGI of $150,000 and $160,000;
and for a married depositor who files separately, between $0 and $10,000. In the
case of a conversion, the custodian will not accept IRA Conversion Contributions
in a tax year if the depositor's AGI for that tax year exceeds $100,000 or if
the depositor is married and files a separate return. Adjusted gross income is
defined in Section 408A(c)(3) and does not include IRA Conversion Contributions.
ARTICLE III
The depositor's interest in the balance in the custodial account is
nonforfeitable.
ARTICLE IV
1. No part of the custodial funds may be invested in life insurance contracts,
nor may the assets of the custodial account be commingled with other property
except in a common trust fund or common investment fund (within the meaning of
Section 408(a)(5)).
2. No part of the custodial funds may be invested in collectibles (within the
meaning of Section 408(m) except as otherwise permitted by Section 408(m)(3),
which provides an exception for certain gold, silver, and platinum coins, coins
issued under the laws of any state, and certain bullion.
ARTICLE V
1. If the depositor dies before his or her entire interest is distributed to
him or her and the grantor's surviving spouse is not the sole beneficiary, the
entire remaining interest will, at the election of the depositor or, if the
depositor has not so elected, at the election of the beneficiary or
beneficiaries, either:
(a) Be distributed by December 31 of the year containing the fifth anniversary
of the depositors death, or
(b) Be distributed over the life expectancy of the designated beneficiary
starting no later than December 31 of the year following the year of the
depositor's death.
If distributions do not begin by the date described in (b), distribution method
(a) will apply.
2. In the case of distribution method 1.(b) above, to determine the minimum
annual payment for each year, divide the grantor's entire interest in the trust
as of the close of business on December 31 of the preceding year by the life
expectancy of the designated beneficiary using the attained age of the
designated beneficiary as of the beneficiary's birthday in the year
distributions are required to commence and subtract 1 for each subsequent year.
3. If the depositor's spouse is the sole beneficiary on the depositor's date
of death, such spouse will then be treated as the depositor.
ARTICLE VI
1. The depositor agrees to provide the custodian with information necessary
for the custodian to prepare any reports required under Section 408(i) and
408A(d)(3)(E), regulations Sections 1.408-5 and 1.408-6, and under guidance
published by the Internal Revenue Service.
2. The custodian agrees to submit reports to the Internal Revenue Service and
the depositor prescribed by the Internal Revenue Service.
ARTICLE VII
Notwithstanding any other articles which may be added or incorporated, the
provisions of Articles I through IV and this sentence will be controlling. Any
additional articles that are not consistent with Section 408A, the related
regulations, and other published guidance will be invalid.
ARTICLE VIII
This Agreement will be amended from time to time to comply with the provisions
of the Code, related regulations, and other published guidance. Other amendments
may be made with the consent of the persons whose signatures appear below.
ARTICLE IX
1. Investment of Account Assets.
(a) All contributions to the custodial account shall be invested in the shares
of any regulated investment company (Investment Company) for which Uniplan,
Inc. serves as Investment Advisor, or any other regulated investment company
designated by the Investment Advisor. Shares of stock of an Investment Company
shall be referred to as Investment Company Shares.
(b) Each contribution to the custodial account shall identify the depositor's
account number and be accompanied by a signed statement directing the investment
of that contribution. The custodian may return to the depositor, without
liability for interest thereon, any contribution which is not accompanied by
adequate account identification or an appropriate signed statement directing
investment of that contribution.
(c) Contributions shall be invested in whole and fractional Investment Company
Shares at the price and in the manner such shares are offered to the public. All
distributions received on Investment Company Shares held in the custodial
account shall be reinvested in like shares. If any distribution of Investment
Company Shares may be received in additional like shares or in cash or other
property, the custodian shall elect to receive such distribution in additional
like Investment Company Shares.
(d) All Investment Company Shares acquired by the custodian shall be registered
in the name of the custodian or its nominee. The depositor shall be the
beneficial owner of all Investment Company Shares held in the custodial account
and the custodian shall not vote any such shares, except upon written direction
of the depositor. The custodian agrees to forward to the depositor each
prospectus, report, notice, proxy and related proxy soliciting materials
applicable to Investment Company Shares held in the custodial account received
by the custodian.
(e) The depositor may, at any time, by written notice to the custodian, redeem
any number of shares held in the custodial account and reinvest the proceeds in
the shares of any other Investment Company. Such redemptions and reinvestments
shall be done at the price and in the manner such shares are then being redeemed
or offered by the respective Investment Companies.
2. Amendment and Termination.
(a) The custodian may amend the Custodial Account (including retroactive
amendments) by delivering to the depositor written notice of such amendment
setting forth the substance and effective date of the amendment. The depositor
shall be deemed to have consented to any such amendment not objected to in
writing by the depositor within thirty (30) days of receipt of the notice,
provided that no amendment shall cause or permit any part of the assets of the
custodial account to be diverted to purposes other than for the exclusive
benefit of the depositor or his or her beneficiaries.
(b) The depositor may terminate the custodial account at any time by delivering
to the custodian a written notice of such termination.
(c) The custodial account shall automatically terminate upon distribution to
the depositor or his or her beneficiaries of its entire balance.
3. Taxes and Custodial Fees.
Any income taxes or other taxes levied or assessed upon or in respect of the
assets or income of the custodial account and any transfer taxes incurred shall
be paid from the custodial account. All administrative expenses incurred by the
custodian in the performance of its duties, including fees for legal services
rendered to the custodian, and the custodian's compensation shall be paid from
the custodial account, unless otherwise paid by the depositor or his or her
beneficiaries.
The custodian's fees are set forth in a schedule provided to the depositor.
Extraordinary charges resulting from unusual administrative responsibilities not
contemplated by the schedule will be subject to such additional charges as will
reasonably compensate the custodian. Fees for refund of excess contributions,
transferring to a successor trustee or custodian, or redemption/reinvestment of
Investment Company Shares will be deducted from the refund or redemption
proceeds and the remaining balance will be remitted to the depositor, or
reinvested or transferred in accordance with the depositor's instructions.
4. Reports and Notices.
(a) The custodian shall keep adequate records of transactions it is required to
perform hereunder. After the close of each calendar year, the custodian shall
provide to the depositor or his or her legal representative a written report or
reports reflecting the transactions effected by it during such year and the
assets and liabilities of the Custodial Account at the close of the year.
(b) All communications or notices shall be deemed to be given upon receipt by
the custodian at 000 X. Xxxxxxxx Xx., Xxxxxxxxx, XX 00000 or the depositor at
his most recent address shown in the custodian's records. The depositor agrees
to advise the custodian promptly, in writing, of any change of address.
5. Designation of Beneficiary.
The depositor may designate a beneficiary or beneficiaries to receive benefits
from the custodial account in the event of the depositor's death. In the event
the depositor has not designated a beneficiary, or if all beneficiaries shall
predecease the depositor, the following persons shall take in the order named:
(a) The spouse of the depositor;
(b) If the spouse shall predecease the depositor or if the depositor does not
have a spouse, then to the personal representative of the depositor's estate.
6. Inalienability of Benefits.
The benefits provided under this custodial account shall not be subject to
alienation, assignment, garnishment, attachment, execution or levy of any kind
and any attempt to cause such benefits to be so subjected shall not be
recognized except to the extent as may be required by law.
7. Rollover Contributions and Transfers.
Subject to the restrictions in Article I, the custodian shall have the right to
receive rollover contributions and to receive direct transfers from other
custodians or trustees. All contributions must be made in cash or check.
8. Conflict in Provisions.
To the extent that any provisions of this Article VIII shall conflict with the
provisions of Articles V, VI and/or VIII, the provisions of this Article IX
shall govern.
9. Applicable State Law.
This custodial account shall be construed, administered and enforced according
to the laws of the State of Wisconsin.
EDUCATION INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT
The deposit whose name appears above is establishing an education individual
retirement custodial account under Section 530 for the benefit of the designated
beneficiary whose name appears above exclusively to pay for the qualified higher
education expenses, within the meaning of Section 530(b)(2), of such designated
beneficiary.
The custodian named above has provided the depositor with a concise statement
disclosing the provisions governing Section 530. This disclosure statement must
include an explanation of the statutory requirements applicable to, and the
income tax consequences of establishing and maintaining an account under,
Section 530. Providing the depositor with a copy of Notice 97-60, 1997-46 I.R.B.
8 (November 17, 1997) is considered a sufficient disclosure statement. The
custodian also will provide a copy of this form and the disclosure statement to
the responsible individual, as defined in Article VI below, if the responsible
individual is not the same person as the depositor.
The depositor and the custodian make the following agreement:
ARTICLE I
The custodian may accept additional cash contributions. These contributions may
be from the depositor, or from any other individual, for the benefit of the
designated beneficiary, provided the designated beneficiary has not attained the
age of 18 as of the date such contributions are made. Total contributions that
are not rollover contributions described in Section 530(d)(5) are limited to a
maximum amount of $500 for the taxable year.
ARTICLE II
The maximum aggregate contribution that an individual may make to the custodial
account in any year may not exceed the $500 in total contributions that the
custodial account can receive. In addition, the maximum aggregate contribution
that an individual may make to the custodial account in any year is phased out
for unmarried individuals who have modified adjusted gross income (AGI) between
$95,000 and $110,000 for the year of the contribution and for married
individuals who file joint returns with modified AGI between $150,000 and
$160,000 for the year of the contribution. Unmarried individuals with modified
AGI above $110,000 for the year and married individuals who file joint returns
and have modified AGI above $160,000 for the year may not make a contribution
for that year. Modified AGI is defined in Section 530(c)(2).
ARTICLE III
No part of the custodial account funds may be invested in life insurance
contracts, nor may the assets of the custodial account be commingled with other
property except in a common investment fund (within the meaning of Section
530(b)(1)(D)).
ARTICLE IV
1. Any balance to the credit of the designated beneficiary on the date on
which such designated beneficiary attains age 30 shall be distributed to the
designated beneficiary within 30 days of such date.
2. Any balance to the credit of the designated beneficiary shall be
distributed to the estate of the designated beneficiary within 30 days of the
date of such designated beneficiary's death.
ARTICLE V
The depositor shall have the power to direct the custodian regarding the
investment of the above-listed amount assigned to the custodial account
(including earnings thereon) in the investment choices offered by the custodian.
The responsible individual, however, shall have the power to redirect the
custodian regarding the investment of such amounts, as well as the power to
direct the custodian regarding the investment of all additional contributions
(including earnings thereon) to the custodial account. In the event that the
responsible individual does not direct the custodian regarding the investment of
additional contributions (including earnings thereon), the initial investment
direction of the depositor also will govern all additional contributions made to
the custodial account until such time as the responsible individual otherwise
directs the custodian. Unless otherwise provided in this agreement, the
responsible individual also shall have the power to direct the custodian
regarding the administration, management, and distribution of the account.
ARTICLE VI
The responsible individual named by the depositor shall be a parent or guardian
of the designated beneficiary. The custodial account shall have only one
responsible individual at any time. If the responsible individual becomes
incapacitated or dies while the designated beneficiary is a minor under state
law, the successor responsible individual shall be the person named to succeed
in that capacity by the preceding responsible individual in a witnessed writing
or, if no successor is so named, the successor responsible individual shall be
the designated beneficiary's other parent or successor guardian. Unless
otherwise directed by checking the option below, at the time that the designated
beneficiary attains the age of majority under state law, the designated
beneficiary becomes the responsible individual.
Option (This provision is effective only if checked): The responsible
individual shall continue to serve as the responsible individual for the
custodial account after the designated beneficiary attains the age of majority
under state law and until such time as all assets have been distributed from the
custodial account and the custodial account terminates. If the responsible
individual becomes incapacitated or dies after the designated beneficiary
reaches the age of majority under state law, the responsible individual shall be
the designated beneficiary.
ARTICLE VII
The responsible individual may or may not change the beneficiary designated
under this agreement to another member of the designated beneficiary's family
described in Section 529(e)(2) in accordance with the custodian's procedures.
ARTICLE VIII
1. The depositor agrees to provide the custodian with the information
necessary for the custodian to prepare any reports required under Section
530(h).
2. The custodian agrees to submit reports to the Internal Revenue Service and
the responsible individual as prescribed by the Internal Revenue Service.
ARTICLE IX
Notwithstanding any other articles which may be added or incorporated, the
provisions of Articles I through IV will be controlling. Any additional articles
that are not consistent with Section 530 and related regulations will be
invalid.
ARTICLE X
This agreement will be amended from time to time to comply with the provisions
of the Code and related regulations. Other amendments may be made with the
consent of the depositor and the custodian whose signatures appear below.
ARTICLE XI
1. Investment of Account Assets.
(a) All contributions to the custodial account shall be invested in the shares
of any regulated investment company (Investment Company) for which Uniplan, Inc.
serves as Investment Advisor, or any other regulated investment company
designated by the Investment Advisor. Shares of stock of an Investment Company
shall be referred to as Investment Company Shares.
(b) Each contribution to the custodial account shall identify the designated
beneficiary's account number and shall be accompanied by a signed statement
directing the investment of that contribution into the designated beneficiary's
account. The custodian may return to the contributor, without liability for
interest thereon, any contribution which is not accompanied by such information
and such appropriate signed statement directing investment of that contribution.
(c) Contributions shall be invested in whole and fractional Investment Company
Shares at the price and in the manner such shares are offered to the public. All
distributions received on Investment Company Shares held in the custodial
account shall be reinvested in like shares. If any distribution of Investment
Company Shares may be received in additional like shares or in cash, the
custodian shall elect to receive such distribution in additional like Investment
Company Shares.
(d) All Investment Company Shares acquired by the custodian shall be registered
in the name of the custodian or its nominee. The designated beneficiary shall be
the beneficial owner of all Investment Company Shares held in the custodial
account and the custodian shall not vote any such shares, except upon written
direction of the responsible individual. The custodian agrees to forward to the
responsible individual each prospectus, report, notice, proxy and related proxy
soliciting materials applicable to Investment Company Shares held in the
custodial account received by the custodian.
(e) The responsible individual may, at any time, by written notice to the
custodian, redeem any number of shares held in the custodial account and
reinvest the proceeds in the shares of any other Investment Company. Such
redemptions and reinvestments shall be done at the price and in the manner such
shares are then being redeemed or offered by the respective Investment
Companies.
(f) To the extent a responsible individual for the designated beneficiary makes
or has power to make decisions as to the investment of the designated
beneficiary's account, that party acknowledges that such decisions are binding
and nonvoidable.
2. Amendment and Termination
(a) The custodian may amend the Custodial Account (including retroactive
amendments) by delivering to the responsible individual written notice of such
amendment setting forth the substance and effective date of the amendment. The
responsible individual shall be deemed to have consented to any such amendment
not objected to in writing by the responsible individual within thirty (30) days
of receipt of the notice, provided that no amendment shall cause or permit any
part of the assets of the custodial account to be diverted to purposes other
than for the exclusive benefit of the designated beneficiary.
(b) The responsible individual may terminate the custodial account at any time
by delivering to the custodian a written notice of such termination.
(c) The custodial account shall automatically terminate upon distribution to
the designated beneficiary or his or her estate of its entire balance.
3. Taxes and Custodial Fees
Any income taxes or other taxes levied or assessed upon or in respect of the
assets or income of the custodial account and any transfer taxes incurred shall
be paid from the custodial account. All administrative expenses incurred by the
custodian in the performance of its duties, including fees for legal services
rendered to the custodian, and the custodian's compensation shall be paid from
the custodial account, unless otherwise paid by the beneficiary or his or her
estate.
The custodian's fees are set forth in a schedule provided to the responsible
individual. Extraordinary charges resulting from unusual administrative
responsibilities not contemplated by the schedule will be subject to such
additional charges as will reasonably compensate the custodian. Fees for refund
of excess contributions, transferring to a successor trustee or custodian, or
redemption /reinvestment of Investment Company Shares will be deducted from the
refund or redemption proceeds and the remaining balance will be remitted to the
designated beneficiary, or reinvested or transferred in accordance with the
responsible individual's instructions.
4. Reports and Notices
(a) The custodian shall keep adequate records of transactions it is required to
perform hereunder. After the close of each calendar year, the custodian shall
provide to the responsible individual a written report or reports reflecting the
transactions effected by it during such year and the assets and liabilities of
the Custodial Account at the close of the year.
(b) All communications or notices shall be deemed to be given upon receipt by
the custodian at 000 X. Xxxxxxxx Xx., Xxxxxxxxx, XX 00000 or the responsible
individual at his most recent address shown in the custodianOs records. The
responsible individual agrees to advise the custodian promptly, in writing, of
any change of address.
5. Monitoring of Contribution Limitations Information
The custodian shall not be responsible for monitoring the amount of
contributions made to the designated beneficiary's account or the income levels
of any depositor or contributor for purposes of assuring compliance with
applicable state or federal tax laws.
6. Inalienability of Benefits
The benefits provided under this custodial account shall not be subject to
alienation, assignment, garnishment, attachment, execution or levy of any kind
and any attempt to cause such benefits to be so subjected shall not be
recognized except to the extent as may be required by law. However, the
responsible individual may change the designated beneficiary under the agreement
to another member of the designated beneficiaryOs family described in Internal
Revenue Code Section 529(e)(2) in accordance with the custodian's procedures.
7. Rollover Contributions and Transfers
The custodian shall have the right to receive rollover contributions and to
receive direct transfers from other custodians or trustees. All contributions
must be made in cash or check.
8. Conflict in Provisions
To the extent that any provisions of this Article XI on the Education IRA
Application shall conflict with the provisions of Articles V through VIII or X,
the provisions of this Article XI shall govern.
9. Applicable State Law
This custodial account shall be construed, administered and enforced according
to the laws of the State of Wisconsin.
