United States

Office of Personnel Management

Retirement and Insurance Service

Benefits Administration Letter

Number: 98-106 Date: May 8, 1998 

Subject: Designations of Beneficiary to Trusts

Designating a Trust Employees may designate a person or institution as a trustee

under the terms of a trust agreement to receive the lump

sum benefits payable under the Civil Service Retirement

System (CSRS) or the Federal Employees Retirement

System (FERS) upon the employee's death.

________________________________________________

Information Required To make sure that these designations are clear and to allow

quick identification of the entitled party, we have

established suggested formats to use for these designations.

While it is not absolutely necessary to use our formats, the

following information must be included for the designation

to be valid:

! a statement that the CSRS or FERS lump sum death

benefit is to be paid to the trustee or successor

trustee

! name and date of the Trust (for inter vivos trusts -

see definition below)

NOTE: The CSRS and FERS Handbook for Personnel and

Payroll Offices currently states that the name and address of

the trustee are also necessary; however, we have eliminated

this requirement. The April 1998 update of the Handbook

reflects this change.

________________________________________________

Validity To be valid, the trustee designation must be attached to and

made a part of the Designation of Beneficiary form. The

employing office should receipt the attachment in the same

manner as the Designation of Beneficiary in case it gets

separated from the Designation. The Designation of

Beneficiary form should state "See attached" in the space

for the designation.

________________________________________________
Types of Trusts Inter Vivos Trusts - an inter vivos trust is one that an

employee establishes during his/her lifetime.

Testamentary Trusts - A testamentary trust is one that an

employee creates at death by his/her will.

________________________________________________

Sample Formats Attached are sample formats for each type of trust.

If an employee wants to use some other format, can't

provide the information requested above, or needs

additional information about designating a trust, please

contact your agency’s headquarters retirement counselor. If

necessary, the retirement counselor may contact his or her

liaison in the Agency Services Division for assistance.

Mary M. Sugar, Chief

Agency Services Division

Retirement and Insurance Service

2 Attachments
Name of Insured (please print): ______________________________________

Social Security Number of Insured: ___________________________________

INTER VIVOS TRUSTEE DESIGNATION

TO BE ATTACHED TO AND MADE PART OF DESIGNATION OF BENEFICIARY

DATED______________________________________

I request that the amount payable under the CIVIL SERVICE RETIREMENT SYSTEM/

FEDERAL EMPLOYEES RETIREMENT SYSTEM (Proceeds) be paid to the Trustee(s) or

Successor Trustee(s) as provided under (Name of Trust Agreement)

__________________________________ bearing the date of

_______________________________ executed by me.

I further request that in the case of the failure of said Trustee(s) to be appointed as such or to

qualify as such for any reason, or the termination for any reason of the trust prior to my death that

the Proceeds shall be paid to:

Name Address Relationship Share

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

The U.S. Office of Personnel Management (OPM) shall not be responsible for the application or

disposition of the proceeds by said Trustee and the receipt by said Trustee shall fully discharge

OPM's liability.

______________________________________________________________________________

Signature of Employee (Only the Employee may sign. Signatures by guardians, conservators or

through a power of attorney are not acceptable.)

Date of execution (Month, day, year) _______________________________________

Two Witnesses to Signature (A witness is not eligible to receive payment as a beneficiary):

______________________________________________________________________________

Signature of witness Number and street City, state and ZIP code

______________________________________________________________________________

Signature of witness Number and street City, state and ZIP code

Name of Insured (please print):______________________________________
Social Security Number of Insured: __________________________________

TESTAMENTARY TRUSTEE DESIGNATION

TO BE ATTACHED TO AND MADE PART OF DESIGNATION OF BENEFICIARY

DATED 

I request that the amount payable under the CIVIL SERVICE RETIREMENT SYSTEM/

FEDERAL EMPLOYEES RETIREMENT SYSTEM (Proceeds) be paid to the Trustee(s) or

Successor Trustee(s) as provided under my Last Will and Testament, and I further request that in

the case of the failure of said Trustee to be appointed as such or to qualify as such by reason of

non-probate of any Will to that effect or for any other reason whatsoever, the Proceeds shall be

paid to:

Name Address Relationship Share

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

The U.S. Office of Personnel Management (OPM) shall not be responsible for the application or

disposition of the proceeds by said Trustee and the receipt by said Trustee shall fully discharge

OPM's liability.

______________________________________________________________________________

Signature of Employee (Only the Employee may sign. Signatures by guardians, conservators or

through a power of attorney are not acceptable.)

Date of execution (Month, day, year) _______________________________________

Two Witnesses to Signature (A witness is not eligible to receive payment as a beneficiary):

______________________________________________________________________________

Signature of witness Number and street City, state and ZIP code

______________________________________________________________________________

Signature of witness Number and street City, state and ZIP code