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7/23/2019 Successor Annuitant vs Beneficiary
http://slidepdf.com/reader/full/successor-annuitant-vs-beneficiary 1/1
Benefits Of Naming A Successor Annuitant For Your RRIF
Applies to spouse only
Naming the surviving spouse as a successor annuitant instead of a
beneficiary of the RRIF provides the same taxdeferred rollover to theannuitant! It also results in the follo"ing additional benefits#
$iming of collapse
• $he surviving spouse directly ta%es over the deceased&s RRIF and
continues to receive the RRIF payments in place of the deceased! Ifthe surviving spouse is named as simply a beneficiary' the RRIF "illcollapse' resulting in disposal of all of the investments held in theRRIF! $here may be disadvantages in selling the investmentsbecause of mar%et conditions and associated disposition costs that
"ould occur!
(ase in administration
• By naming the surviving spouse as a successor annuitant' the
annuitant&s RRIF account can be transferred to the surviving spouseby simply changing the name on the existing plan or transferringassetsin%ind to the spouse&s RRIF or RRS)! No additionalpaper"or% is re*uired' and there is no need to execute a brand ne"contract!
•
In addition' the surviving spouse does not have to deal "ith extrareporting slips +$,RIF-! $he $,RIF identifies the amount paid fromthe deceased&s RRIF and the amount eligible to be transferred to thesurviving spouse&s plan!
)ayments unchanged
• $he surviving spouse may continue to receive payments based on
the original terms of the deceased&s RRIF! .o"ever' if the spouse"as named as a beneficiary' the minimum payments must berecalculated and ad/usted based on the age of the surviving spouse!