02/23/2023
Good points in Derek’s article about Beneficiary Designations that are often referred to as POD or TOD accounts that pay on death(POD) or transfer on death(TOD) to a beneficiary named on the POD or TOD account. Also they are sometimes referred to as “Poor man’s trusts” because like a living trust, the asset with a beneficiary designation does not have to go thru probate to transfer to a named beneficiary and costs less to set up than a living trust. However a POD and or a TOD can backfire if not done right or if transfer on death is to a person who should not receive the property outright without “strings attached” that can only be set forth in a living trust.