N.J. Admin. Code § 17:6-14.7

Current through Register Vol. 56, No. 23, December 2, 2024

Section 17:6-14.7 - Distribution to minor beneficiary

(a) If a distribution under the Retirement Plan is to be made to a minor beneficiary, any payment(s) may, except to the extent prohibited by applicable law, be paid to a responsible person according to the following order. If the amount is under $ 10,000 per year:

1. As instructed by an appropriate court pursuant to a written court order which has been provided to the Plan Administrator before the distribution is made;

2. To the duly court-appointed and currently acting conservator of the beneficiary, evidence of which has been provided to the Plan Administrator before the distribution is made;

3. To the duly appointed and currently active guardian of the beneficiary, evidence of which has been provided to the Plan Administrator before the distribution is made;

4. To the custodial parent of the beneficiary;

5. To a custodial adult with whom the beneficiary maintains his or her residence; or

6. To the court having jurisdiction over the estate of the beneficiary.

(b) If the amount is over $ 10,000 a year, a conservator must be appointed by the court to receive the payment. This payment shall be in full satisfaction of all claims. The Plan Administrator has no duty to supervise or inquire into the application of any amount so paid.

(c) If at the time a distribution begins, the beneficiary is a minor and the Plan Administrator begins payments to another person under (a) or (b) above, the Plan Administrator may continue all payments under the distribution to the other person notwithstanding that the beneficiary may have attained full age, unless the beneficiary files a written claim according to all of the requirements of the Retirement Plan, including furnishing satisfactory evidence that he or she is of full age.

N.J. Admin. Code § 17:6-14.7