401K benefits

[april09]

I live in Georgia.
My question is about 401k benefits.
Who is the beneficiary by default?
Suppose the spouse has his parents as beneficiary before marriage and forgets to update the record after marriage. Then in his demise who gets the benefits? Is it the spouse or the parents?

 

[ShyCat]

For all 401(k) plans, the spouse is always the beneficiary unless that spouse signs a waiver. So, in the scenario you described, the spouse would not have signed a waiver, so the beneficiary designation to the parents would no longer be valid, and the spouse would inherit.

 

[cbg]

Agreed. Under the law, the beneficiary of a 401k plan (assuming the employee is married) MUST be the spouse unless the spouse signs a written authorization agreeing that it be otherwise.