Handling Beneficiary Shares
When allocating your estate, you'll be asked: "If one of your beneficiaries passes away before you, what should happen to their share?" You have two options:
1. Go Directly to Their Children: If a beneficiary passes away before you, their share of your estate goes to their biological or officially adopted descendants.
2. Divide Among Other Beneficiaries: If a beneficiary passes away before you, their share is divided among your other beneficiaries.
Special Cases
1. Single Beneficiary: If you have only one beneficiary, the only option is " going directly to their children."
2. Multiple Beneficiaries: Add another beneficiary in the previous section to enable the "divide among other beneficiaries" option.
Appointing Backup Beneficiaries
Backup Beneficiary at 1% Allocation: If you would like one person to receive your estate, but to stop their share if they predecease you from going directly to their descendants, list a backup beneficiary with a 1% allocation. This will open the option to select "divide among other beneficiaries."
Contingent Beneficiaries:
Alternatively, contingent beneficiaries can be appointed in the next section. This serves as the ultimate backup. If your primary beneficiary and their descendants have predeceased you, your estate will pass to your contingent beneficiaries, who will split the proceeds equally.