Revocable Beneficiary

Categories: Trusts and Estates

"When I die, you, my favorite niece, my beneficiary, get my yacht...but only if you aren't convicted of a felony first." The benefit of that yacht is revocable if they, you know, have her on camera dealing all 12 kilos.

Why does it being revocable even matter? Well, having it revocable means that it's taxable as a normal estate transfer rate...like, 40% or so, these days. Make it irrevocable, and you can take advantage of all kinds of things along the way, avoiding the full bite of The Taxman.

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Finance: What is a Beneficiary?25 Views

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Finance a la shmoop.. what is a beneficiary? well in Latin, bene is

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good so this is like a good place to catch fish...well close not [Old man fishing in the ocean]

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really but being a beneficiary is good it means you get stuff like if you are

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the beneficiary of weird uncle Al's will then you get his odd collection of hair

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balls shaped like US presidents and thirty two thousand two hundred sixty [Uncle Al's will appears]

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$9.32... in essence then you are the beneficiary of his will you are the one

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set up to benefit by the death of someone who wanted to favor you with

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their assets when they had you know passed on to the great beyond where hair [Uncle Al with white wings in heaven]

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balls will fall....

Find other enlightening terms in Shmoop Finance Genius Bar(f)