Brother passed, left IRA. Had trust. Who does the IRA belong to, the trust or siblings?

Asked almost 2 years ago - Avondale, AZ

My brother passed away and left an IRA and named my father as beneficiary, who is also deceased. My brother established a trust. Who does the IRA belong to, the trust or siblings? Brother had no wife or children.

Attorney answers (4)

  1. Celia R Reed

    Contributor Level 20

    4

    Lawyers agree

    Answered . An Ira can be placed in a trust and can name a trust as beneficiary. Unless your brother did this prior to his death, the Ira does not belong to the trust.

    Please note that I am answering this question as a service through Avvo but not as your attorney and no attorney-... more
  2. Paula Brown Sinclair

    Contributor Level 20

    5

    Lawyers agree

    Answered . On the basis of the facts you have disclosed, most likely the IRA belongs to your father's estate. If he left a will, it would pass under the terms of the will, which may, especially if competent counsel was involved in drafting the trust, require "pouring" all into the trust. If there is no will, the IRA goes to your father's heirs, as determined by the applicable state's laws of intestate succession. For more precise advice, consult with an experienced probate attorney in the county where your father lived.

    Best wishes for a favorable outcome, and please remember to designate a best answer.

    This answer is offered as a public service for general information only and may not be relied upon as legal advice.
  3. Paul E Deloughery

    Pro

    Contributor Level 12

    1

    Lawyer agrees

    Answered . I believe that the IRA beneficiary designation to your father failed because your father did not survive. So, the IRA has no beneficiary (assuming there was no alternate beneficiary). The IRA is in your brother's estate and gets treated according to the will (i am assuming). The will might have a provision for the IRA, but most lawyers don't bother to do that. I'm guessing that the will pours all remaining assets into the trust. Whoever's in charge of the estate and trust needs to see a good probate attorney and financial advisor (about how to transfer the IRA from your brother's name to his estate, then to the trust and then to the beneficiaries).

    Please note that I am answering this question as a service through Avvo but not as your attorney and no attorney-... more
  4. James P. Frederick

    Contributor Level 20

    1

    Lawyer agrees

    Answered . I agree with my colleagues. You need to contact the company holding the IRA and inform them of your brother's death AND your father's death and determine whether there is a contingent beneficiary named. If not, then the IRA company will have a policy determining whether the proceeds pass to your brother's estate or father's estate. I have seen it handled both ways.

    James Frederick

    ***Please be sure to mark if you find the answer "helpful" or a "best" answer. Thank you! I hope this helps. ******... more

Related Topics

Inheritance rights and estate planning

Inheritance rights refers to the rights most states give to a spouse (and in some cases, children or grandchildren) that prevent you from disinheriting them.

Probate

Probate is the legal process for proving a will valid or invalid, appointing an executor, and distributing estate assets according to the will or state law.

Can't find what you're looking for? Ask a Lawyer

Get free answers from experienced attorneys.

 

Ask now

29,681 answers this week

3,411 attorneys answering

Ask a Lawyer

Get answers from top-rated lawyers.

  • It's FREE
  • It's easy
  • It's anonymous

29,681 answers this week

3,411 attorneys answering