By Member Services
What is a beneficiary? A beneficiary is a person (or a supplemental needs trust) the member selects to receive the benefits of the member’s retirement account after they die.
It’s your benefit; make sure it’s going to the right place. If you fail to submit a valid beneficiary designation form, benefits payable upon your death will be paid to your surviving spouse or domestic partner, or if one does not exist, a one-time lump sum payment will be made to your estate. Proof of marital status or domestic partnership is required.
One advantage of the plan administered by ERB is that the benefit continues to pay your beneficiary upon death without having to probate your will. If you do not name a valid beneficiary, or your beneficiary passes away before you have updated your beneficiary, ERB will pay the death benefit to your estate in lump sum. By designating your beneficiary, you can ensure that they can receive the maximum benefit that ERB will pay on your account.
Minor children or someone with special needs are eligible to be named as a beneficiary. Please consult a tax or legal professional if you have any questions regarding these options.
It is a good idea to periodically check your beneficiary designations, especially after major life events such as marriage, divorce, birth of a child or adoption, or loss of a loved one that was a named beneficiary.
Remember to leave your legacy as you intended; be sure to assign a beneficiary(s) to your account so your assets will pass on to your loved ones when they need it the most.