Picture this: John, a hardworking fellow from down the street, was just a few years shy of hanging up his work boots for good. He’d diligently contributed to his company pension plan for decades, and as retirement loomed, a common question began to gnaw at him. “Can I transfer my pension to my wife?” he wondered aloud one evening. He wanted to make sure his beloved Sarah would be taken care of, come what may. It’s a real head-scratcher for many, isn’t it?
To answer John’s question directly: Generally, you cannot directly ‘transfer’ your pension to your wife in the same way you might transfer money from one bank account to another. However, there are several crucial mechanisms – primarily through survivor benefits, qualified domestic relations orders (QDROs), or specific estate planning strategies – that allow a spouse to receive substantial financial benefits from a pension. These options are designed to provide for a surviving spouse and ensure financial continuity.
This isn’t a simple yes or no situation. The ability for your wife to receive benefits from your pension is a nuanced topic, deeply tied to the specific type of pension plan you have, federal regulations like ERISA (Employee Retirement Income Security Act), and the choices you make during your retirement planning. As someone who’s navigated the complexities of retirement planning both personally and professionally, I’ve seen firsthand how important it is for couples to understand these options thoroughly. It’s not just about what’s allowed, but what makes the most sense for your family’s unique circumstances and financial security.
The Nuances of Pension Transferability: Why It’s Not a Simple Hand-Off
When folks talk about “transferring a pension,” they often envision moving the entire asset into their spouse’s name, much like gifting a stock portfolio. However, traditional defined benefit (DB) pensions – the kind that promise a fixed income stream for life – are inherently tied to the employee’s service record and payout structure. They’re not liquid assets that can simply be reassigned. This is because the pension is a promise from your former employer, or a fund you contributed to, to pay *you* a set amount based on your years of service and salary.
The core of the matter is that pensions are designed as a form of deferred compensation for the employee. The system is built around securing an income for the retiree. Any provision for a spouse is typically a secondary, albeit incredibly important, consideration, and it’s almost always structured as a continuation of benefits *from* the original plan, rather than a full transfer *to* a new owner.
So, instead of a direct transfer, what we’re really discussing are ways your wife can become a designated recipient of benefits *from* your pension plan. This usually falls into a few key categories:
- Survivor Benefits (Joint and Survivor Annuities): The most common and often legally mandated protection for spouses.
- Qualified Domestic Relations Orders (QDROs): A legal tool primarily used in divorce to divide pension assets.
- Beneficiary Designations and Rollovers: More applicable to defined contribution plans (like 401(k)s) or lump-sum pension payouts, where your wife can inherit the funds.
Let’s dive into each of these avenues, because understanding the ins and outs can make a world of difference for your family’s financial well-being.
Survivor Benefits: Protecting Your Spouse’s Future
For most traditional pension plans, survivor benefits are the primary mechanism for ensuring your wife receives income after your passing. This is typically structured as a “Joint and Survivor Annuity” (JSA), and it’s a critical piece of the retirement puzzle.
Joint and Survivor Annuities (JSAs): How They Work
A Joint and Survivor Annuity is a payment option offered by most pension plans that provides a guaranteed stream of income for the retiree’s lifetime, and then, upon the retiree’s death, continues to pay a portion of that income to a designated surviving spouse for the remainder of their life. It’s a fantastic safety net, ensuring your wife won’t be left in the lurch financially if you pass away first.
Here’s the deal: When you elect a JSA, your monthly pension payment during your lifetime will be lower than if you chose a “single life annuity” (which only pays you, and stops when you die). Why? Because the plan administrator is now expecting to pay out benefits for two lifetimes instead of one. The reduction depends on various factors, including the age difference between you and your spouse, and the percentage of your benefit that will continue to your spouse.
Most plans offer different percentages for the survivor benefit, commonly 50%, 75%, or 100%. If you choose a 50% JSA, for example, your spouse would receive half of your monthly benefit after your death. The higher the percentage chosen for your spouse, the lower your monthly payment will be while you are both alive.
My take: From my perspective, especially if you have a spouse who is financially dependent or if you want to ensure they maintain a similar standard of living after you’re gone, a JSA is often the most straightforward and secure path. It offers peace of mind that’s truly invaluable.
Mandatory Spousal Consent for Waiving Survivor Benefits
This is a big one, thanks to ERISA. For most private sector defined benefit plans, federal law dictates that if you are married, your pension must automatically be paid as a qualified joint and survivor annuity (QJSA) unless your spouse expressly consents in writing to waive it. This consent usually needs to be notarized or witnessed by a plan representative. This legal protection is in place to prevent retirees from inadvertently or intentionally cutting off their spouse from a vital source of income.
This means you can’t simply decide to take a single life annuity (which pays you more while you’re alive but nothing to your spouse after you die) without your wife’s explicit agreement. It’s a testament to the law’s intent to protect spouses, recognizing their potential reliance on the pension income.
Pop-Up Provisions
What if your wife passes away before you, and you’ve already elected a JSA? Some pension plans offer a “pop-up” provision. With this feature, if your spouse dies first, your monthly pension payments would “pop up” to the higher single life annuity amount. This is a great feature, as it means you aren’t stuck with the reduced payment for your lifetime even after the reason for the reduction (providing for your spouse) is no longer relevant. It’s definitely something worth asking your plan administrator about.
Death Before Retirement
What happens if you die before you even start collecting your pension? This scenario depends heavily on the specific plan. Some plans may offer a lump-sum death benefit to your designated beneficiary (which could be your wife), while others might allow your wife to elect to receive a qualified pre-retirement survivor annuity (QPSA). A QPSA typically provides a lifetime income stream to your spouse, similar to a JSA, but begins earlier if you pass away before reaching retirement age. Again, spousal consent is often required if you wish to name someone other than your spouse as the beneficiary for pre-retirement death benefits.
Qualified Domestic Relations Orders (QDROs): Navigating Divorce and Pensions
While the primary discussion is often about providing for a *current* spouse, the question of pension transferability frequently comes up in the context of divorce. This is where a Qualified Domestic Relations Order, or QDRO (pronounced “quad-row”), enters the scene. A QDRO is a special type of court order that allows an ex-spouse (or, less commonly, a child or other dependent) to receive a portion of an employee’s retirement plan benefits.
What a QDRO Is and Its Purpose
A QDRO is essentially a legal carving knife for pension and retirement plans. It directs the plan administrator to pay a portion of the pension directly to an “alternate payee” – usually the ex-spouse – as part of a divorce settlement or property division. Without a QDRO, the plan cannot typically disburse benefits to anyone other than the plan participant, even if a divorce decree dictates it.
It’s crucial because retirement plans, especially defined benefit pensions, are protected under ERISA. A QDRO provides the necessary legal framework to bypass these protections and legally assign a part of the benefits to the ex-spouse. It’s not about transferring the entire pension, but rather a legally mandated division of what is often considered marital property.
How It Works: Types of QDROs
QDROs can be structured in a couple of ways:
- Shared Payment Approach: The alternate payee receives a portion of each benefit payment *when* the participant begins receiving their pension. For example, if the participant receives $2,000 a month, the QDRO might stipulate the ex-spouse gets $1,000 of that.
- Separate Interest Approach: This creates a separate interest in the pension for the alternate payee. The ex-spouse essentially becomes a participant in the plan for their portion of the benefits and can elect to start receiving their payments when the participant is eligible for retirement, regardless of when the participant actually retires. This is generally more complex but gives the ex-spouse more control over their share.
The specific details, like the percentage or dollar amount to be assigned, are determined by the divorce court and outlined in the QDRO itself. It’s a complex legal document, and I’ve seen many folks get tripped up by its intricacies. That’s why having an attorney specializing in family law and QDROs is absolutely essential.
Importance of Legal Counsel
Let me tell you, trying to navigate a QDRO without a qualified attorney is like trying to fix a complex engine blindfolded. A QDRO must contain specific information required by law to be considered “qualified” by the pension plan administrator. If it doesn’t meet these requirements, the plan will reject it, and the ex-spouse won’t receive their share. This can lead to significant delays, legal battles, and a whole lot of frustration. An experienced attorney ensures the QDRO is drafted correctly and complies with both federal law and the specific plan’s rules.
Estate Planning and Beneficiary Designations: Beyond the Annuity
While traditional pensions often focus on annuities, many modern retirement plans, and even some lump-sum options from traditional pensions, allow for more direct beneficiary designations. This is particularly true for defined contribution plans like 401(k)s, 403(b)s, and IRAs, which often serve a similar purpose to pensions for many Americans.
IRAs and 401(k)s: Direct Beneficiary Designation
For defined contribution plans, naming your wife as a primary beneficiary is the most straightforward way to ensure she inherits the funds. This is as simple as filling out a beneficiary designation form with your plan administrator or IRA custodian. Upon your death, the funds typically pass directly to her, outside of the probate process, which is a significant advantage.
For 401(k)s and similar employer-sponsored plans, ERISA mandates spousal consent if you wish to name someone *other than* your spouse as the primary beneficiary. This is similar to the survivor annuity rule for traditional pensions and serves the same purpose: to protect the spouse’s financial security. So, if you wanted to leave your 401(k) to your kids, your wife would have to formally agree to it.
Rollovers to an Inherited IRA
When your wife inherits an IRA or 401(k) from you, she has particularly advantageous options. As a spousal beneficiary, she can often choose to:
- Roll over the funds into her own IRA: This is often the most beneficial option. By doing so, she becomes the owner of the IRA, can name her own beneficiaries, and can delay distributions until she reaches her own required minimum distribution (RMD) age (currently 73). This allows the funds to continue growing tax-deferred for many more years.
- Treat it as her own inherited IRA: This also allows her to take distributions over her life expectancy, but she would start taking RMDs based on her age as if she were the original owner.
- Take a lump-sum distribution: While an option, this typically triggers immediate income tax on the entire amount, which might not be ideal.
The ability for a spouse to roll over inherited retirement funds into their own IRA is a powerful tool for long-term financial planning and asset protection. It truly helps maintain financial continuity.
Trusts as Beneficiaries
In some complex situations, particularly for high-net-worth individuals or those with specific estate planning goals (e.g., protecting assets for children from a previous marriage, or for a spouse with special needs), a trust might be named as the beneficiary of a retirement account. However, this is a highly specialized area with intricate rules and potential tax implications. It’s absolutely vital to work with an experienced estate planning attorney if you’re considering this route, as a poorly drafted trust can unintentionally accelerate tax obligations.
Importance of Keeping Beneficiaries Updated
Here’s a common pitfall I’ve observed: Folks set up their beneficiaries when they first start a job or open an account, and then they never revisit it. Life happens – marriages, divorces, births, deaths. If you don’t update your beneficiaries, your retirement funds might go to an ex-spouse or a deceased relative, completely bypassing your current wife or intended heirs. Make it a habit to review your beneficiary designations every few years, and especially after any major life event. It takes just a few minutes, but it can save your loved ones a lifetime of headaches.
Types of Pensions and Their Transferability Rules
Not all “pensions” are created equal. The rules for transferring benefits to your wife can vary significantly based on the type of plan you have. It’s important to understand these distinctions.
Defined Benefit (DB) Plans (Traditional Pensions)
These are the classic pensions, promising a specific monthly income in retirement based on a formula involving your salary, years of service, and age. Examples include many government pensions and some older corporate plans. For these plans, the primary mechanism for your wife to receive benefits is through a Joint and Survivor Annuity, as discussed earlier. There’s generally very little flexibility for lump-sum “transfers” in the traditional sense, as the plan’s obligation is to provide a periodic income.
Key takeaway: With DB plans, think “income stream for life,” and your wife’s share is usually a continuation of that stream.
Defined Contribution (DC) Plans (401k, 403b, 457)
These plans are different beasts altogether. Instead of a guaranteed payout, you and/or your employer contribute money to an individual account, and the retirement benefit depends on the amount contributed and the investment performance. While not “pensions” in the traditional sense, they serve the same purpose: providing retirement income. Many people even refer to their 401(k) as their “pension.”
With DC plans, there’s much more flexibility regarding beneficiary designations and lump-sum distributions. As mentioned, your wife can be named as the primary beneficiary, allowing her to inherit the account directly upon your death, often with favorable rollover options. Spousal consent is typically required if you wish to name someone other than your spouse.
Key takeaway: With DC plans, think “accumulated savings account,” and your wife inherits the account balance, not just an income stream.
Government Pensions (Federal, State, Local) and Military Benefits
If you’re a federal employee (FERS or CSRS), state or local government worker, or military veteran, your pension benefits come with their own specific set of rules for spousal benefits. These often involve comprehensive survivor annuity programs, similar in principle to private sector JSAs, but with their own unique terminology and election processes.
- Federal Employees Retirement System (FERS) and Civil Service Retirement System (CSRS): Both FERS and CSRS offer survivor annuities for spouses. Similar to private pensions, electing a survivor benefit will reduce the retiree’s annuity. The spousal annuity is typically 50% of the employee’s full annuity (or 25% for a reduced premium) and requires spousal consent to waive or elect a lower amount.
- Military Pensions (Survivor Benefit Plan – SBP): For military retirees, the Survivor Benefit Plan (SBP) allows them to provide a continuing income to their eligible survivors (spouse, former spouse, or children) after the retiree’s death. Enrollment in SBP is automatic for spouses unless actively declined by the retiree and spouse. It’s a powerful tool to ensure the financial security of military families.
These government plans often have very generous spousal provisions, reflecting a long-standing commitment to supporting public servants and their families. However, the rules are typically quite rigid, with less room for customization compared to private sector plans.
The Spousal Consent Mandate: A Critical Protection
We’ve touched on this a couple of times, but it bears repeating and emphasizing: The spousal consent mandate is a cornerstone of retirement security laws in the U.S., particularly for married individuals covered by private-sector pension and 401(k) plans.
Under the Employee Retirement Income Security Act of 1974 (ERISA), which governs most private-sector retirement plans, a married participant generally cannot elect a form of benefit payment that deprives their spouse of survivor benefits without the spouse’s written consent. This includes:
- Electing a single life annuity instead of a Joint and Survivor Annuity from a defined benefit plan.
- Naming a non-spouse beneficiary for a 401(k) or other defined contribution plan.
This protection is rooted in the recognition that spouses are often financially interdependent, and retirement assets are frequently considered marital property. It prevents one spouse from unilaterally making decisions that could leave the other spouse in financial distress upon their death. The consent must be in writing, typically witnessed by a plan representative or notarized, and usually must be provided within a specific timeframe before the benefit commencement date.
From my viewpoint, this mandate is an incredibly important safeguard. It encourages couples to have open discussions about their retirement income strategies and ensures that both partners have a say in how these crucial assets will be distributed.
Understanding the Tax Implications
Whenever you’re dealing with retirement funds, taxes are part of the equation. Understanding them is key to smart financial planning.
Income Tax on Distributions
When pension benefits or inherited retirement account funds are distributed, they are generally subject to income tax. The crucial question is: who pays, and when?
- For a JSA: The retiree pays income tax on the portion of the annuity they receive during their lifetime. After the retiree’s death, the surviving spouse pays income tax on the portion of the annuity they receive. The tax liability simply shifts to the recipient.
- For Inherited 401(k)s/IRAs (Spousal Rollover): If your wife rolls over your inherited 401(k) or IRA into her own IRA, she avoids immediate taxation. She will then pay income tax on distributions when she takes them from her IRA, following her own RMD schedule. This tax-deferred growth is a huge advantage.
- For Inherited 401(k)s/IRAs (as Beneficiary, not Rollover): If she doesn’t roll it over, but takes it as an inherited IRA, she’ll pay taxes on distributions as she takes them, under the inherited IRA rules (which can vary, but for spouses, often allow for distributions over her life expectancy).
- Lump-Sum Distributions: If a lump sum is paid out directly to your wife (and not rolled over), the entire amount will generally be subject to income tax in the year of receipt, which could push her into a much higher tax bracket.
Estate Tax Considerations
For the vast majority of Americans, federal estate tax is not a concern, thanks to generous exemption limits ($13.61 million per individual in 2024). This means that very few estates are large enough to trigger federal estate tax. Furthermore, assets left to a surviving spouse are generally exempt from federal estate tax under the unlimited marital deduction. So, if your wife inherits your pension or retirement account, it typically won’t be subject to estate tax at your death.
However, a few states have their own estate or inheritance taxes, which might apply at lower thresholds. It’s always a good idea to consult with an estate planning attorney if you have a very large estate or live in one of these states.
Making the Right Choice: A Checklist for Couples
Deciding how to structure your pension benefits for your wife isn’t a one-size-fits-all situation. It requires thoughtful consideration and open communication. Here’s a checklist to help you and your wife navigate these important decisions:
- Review Your Plan Documents Thoroughly: Get copies of your Summary Plan Description (SPD) and other plan documents. These are the authoritative sources for understanding your specific pension’s options, rules, and restrictions. Don’t rely on hearsay or general advice; read the fine print.
- Consult a Qualified Financial Advisor: A certified financial planner (CFP) who specializes in retirement can help you analyze your options, project future income streams, and understand the trade-offs between different survivor benefit percentages or payout choices. They can provide an objective perspective tailored to your overall financial picture.
- Discuss Your Wife’s Financial Needs and Resources: Have an honest conversation with your wife about her financial situation. Does she have her own pension or significant savings? What would her expenses be if she outlived you? Understanding her future needs is paramount.
- Consider Both Your Health and Life Expectancies: While no one has a crystal ball, considering your and your wife’s health and family history can play a role. If you have a serious health condition, prioritizing a higher survivor benefit might make more sense. Conversely, if you both anticipate long lives, the impact of a reduced monthly payment for a longer period needs careful consideration.
- Understand the Impact on Your Lifetime Payments: Be clear on how electing a survivor benefit will reduce your monthly pension payments during your lifetime. Can you both comfortably live on that reduced amount? Balance your current needs with future security.
- If Divorce is a Factor, Seek Expert Legal Counsel for a QDRO: If you’re dealing with a divorce and pension division, a specialized attorney is non-negotiable. They will ensure the QDRO is drafted correctly and accepted by the plan administrator, protecting both parties’ interests.
- Keep Beneficiary Designations Updated: Regularly review and update the beneficiaries on all your retirement accounts (401k, IRA, etc.) to reflect your current wishes and life circumstances.
My Insights and Recommendations
Having witnessed countless couples grapple with these decisions, I’ve developed a few core beliefs:
1. Plan Early and Communicate Openly: The absolute best time to start thinking about these issues isn’t the week before retirement; it’s years in advance. This gives you ample time to understand your options, seek professional advice, and, most importantly, have candid conversations with your wife. Financial decisions, especially those impacting long-term security, should be made as a team.
2. Professional Advice is an Investment, Not an Expense: The intricacies of pension plans, tax laws, and estate planning are complex. Trying to figure it all out on your own can lead to costly mistakes. Investing in a consultation with a qualified financial advisor and, if needed, an estate planning attorney, can provide clarity, optimize your benefits, and save you money and heartache in the long run.
3. Prioritize Security, Then Optimize: For most couples, ensuring the surviving spouse has a reliable income stream is the paramount concern. This often means leaning towards a Joint and Survivor Annuity for traditional pensions. Once that foundational security is in place, you can then look at optimizing other retirement assets (like 401(k)s and IRAs) through beneficiary designations and strategic rollovers.
4. Don’t Assume: Never assume how your pension or retirement accounts will be handled upon your death. The default rules might not align with your wishes, and state laws or plan rules can override general assumptions. Always verify through your plan documents and direct communication with administrators.
Ultimately, while you can’t simply “transfer” your pension to your wife like passing a note, the mechanisms in place – particularly survivor benefits and strategic beneficiary designations – are powerful tools designed to ensure her financial well-being after you’re gone. It’s about being proactive, informed, and making choices together that reflect your shared future.
Frequently Asked Questions
Can I name my wife as the sole beneficiary of my pension lump sum?
This depends on your specific pension plan. Some traditional defined benefit (DB) plans do not offer a lump-sum payout option at all; they only pay out as a monthly annuity. If your plan *does* offer a lump-sum option, you can typically name your wife as the sole primary beneficiary. However, be aware that choosing a lump sum instead of an annuity might mean forfeiting guaranteed lifetime income and shifting the investment risk to your wife. For defined contribution (DC) plans like 401(k)s, naming your wife as the sole beneficiary is standard practice and often legally mandated unless she provides written consent otherwise.
What if my wife dies before me, and I chose a joint and survivor annuity?
If you elected a Joint and Survivor Annuity (JSA) and your wife passes away before you, your options depend on your specific pension plan’s provisions. Many plans include a “pop-up” provision. With a pop-up, if your spouse predeceases you, your monthly pension payment will “pop up” to the higher amount you would have received had you initially chosen a single life annuity. This is a very beneficial feature, as it restores your full benefit. However, not all plans offer this, so it’s crucial to confirm this detail with your plan administrator when making your election.
Is spousal consent always required to waive survivor benefits?
For most private-sector defined benefit (DB) pension plans and defined contribution (DC) plans like 401(k)s covered by ERISA, yes, spousal consent is almost always required if you wish to waive the Qualified Joint and Survivor Annuity (QJSA) or name a non-spouse beneficiary. This is a federal protection designed to ensure the financial security of spouses. There are very limited exceptions, such as if your spouse cannot be located or if a Qualified Domestic Relations Order (QDRO) dictates otherwise. However, this rule does not universally apply to all government pensions (federal, state, local) or certain church plans, which may have their own specific rules regarding spousal consent.
What’s the difference between a beneficiary and a survivor annuitant?
While both terms relate to someone receiving benefits after your death, they apply to different types of plans and have distinct implications. A beneficiary is typically designated for defined contribution plans (like 401(k)s, IRAs) or lump-sum death benefits. When you die, the beneficiary inherits the remaining account balance or the lump sum. A survivor annuitant, on the other hand, is specific to defined benefit (DB) pension plans that pay out as an annuity. If you elect a Joint and Survivor Annuity, your spouse becomes the survivor annuitant, meaning they will receive a continuous stream of monthly income for their lifetime after your death, typically a percentage of your original benefit.
Can I change my survivor benefit election after I retire?
Generally, no, once you elect your pension payout option and begin receiving benefits, it is almost impossible to change your survivor benefit election. Pension administrators typically consider these elections irrevocable once payments start. There might be extremely rare exceptions, such as a clerical error by the plan or a court order, but these are not common. This emphasizes the importance of making a well-informed decision before you retire, involving thorough discussions with your spouse and financial advisor.
Does transferring a pension to my wife affect my Social Security benefits?
No, the way you structure your pension benefits for your wife (e.g., electing a Joint and Survivor Annuity or naming her as a beneficiary for a 401(k)) generally has no direct impact on your Social Security benefits or your wife’s potential Social Security benefits as your spouse or survivor. Social Security benefits are determined by your earnings record and specific Social Security rules, separate from any private or government pension plan. Your pension income, however, *is* considered in calculations for income tax, which could indirectly affect the taxation of your Social Security benefits if your combined income exceeds certain thresholds.
What are the tax implications if my wife inherits my 401(k) or IRA as a pension substitute?
If your wife inherits your 401(k) or IRA, she has several advantageous tax-deferred options as a spouse. The most common and often recommended approach is for her to roll over the inherited funds into her own IRA. When she does this, she becomes the owner of the IRA, can name her own beneficiaries, and generally doesn’t have to start taking required minimum distributions (RMDs) until she reaches her own RMD age (currently 73). This allows the funds to continue growing tax-deferred for potentially many years. Alternatively, she could treat it as an inherited IRA, taking distributions over her life expectancy (or within 10 years for some non-spouse beneficiaries, but spouses have more flexibility). Distributions from these accounts are generally taxed as ordinary income in the year they are taken.
How does a QDRO impact my current pension payments?
A Qualified Domestic Relations Order (QDRO) carves out a portion of your pension for an alternate payee, typically an ex-spouse, as part of a divorce settlement. If the QDRO uses a “shared payment” approach, your current pension payments will be directly reduced by the amount or percentage specified in the QDRO. For example, if your pension is $2,000 per month and the QDRO dictates your ex-wife receives 50%, your monthly payment would be reduced to $1,000. If the QDRO creates a “separate interest,” your overall future benefit might be permanently reduced, but the exact impact on your *current* payments would depend on when the alternate payee begins receiving their share. In either case, your available pension income for yourself will be less than it would have been without the QDRO.
Can I set up a trust to receive my pension benefits for my wife?
While you can name a trust as the beneficiary for some types of retirement accounts (like 401(k)s or IRAs), directly naming a trust as the recipient of a traditional defined benefit (DB) pension annuity payout is highly unusual and often not feasible due to the plan’s specific payment structure. Pension plans are generally set up to pay individuals, not trusts, for annuity payments. For DC plans, naming a trust as beneficiary is possible, but it introduces significant complexities regarding RMD rules and taxation. It’s usually done only for very specific estate planning objectives, such as providing for a beneficiary with special needs or controlling the distribution of assets over time. This approach requires meticulous planning with an experienced estate planning attorney to avoid unintended tax consequences.