What is the difference between a Residuary Beneficiary and a Remote Contingent Beneficiary?
A Residuary Beneficiary is the person or organization that receives the remainder of your estate or trust after expenses are paid and any specific gifts are distributed. A Remote Contingent Beneficiary is a final backup—someone who would only inherit if all of your named beneficiaries, including your children, grandchildren, and other descendants, are no longer living.
We sometimes refer to this as the “worst-case scenario” beneficiary. For example, if an unexpected tragedy were to affect your entire immediate family, and all of your descendants (to include grandchildren and great-grandchildren, etc.). While it’s unlikely to be used, naming a Remote Contingent Beneficiary ensures your assets go where you would want, even in the most extreme circumstances.
We sometimes refer to this as the “worst-case scenario” beneficiary. For example, if an unexpected tragedy were to affect your entire immediate family, and all of your descendants (to include grandchildren and great-grandchildren, etc.). While it’s unlikely to be used, naming a Remote Contingent Beneficiary ensures your assets go where you would want, even in the most extreme circumstances.