E281 MTA Covid Death Benefit and Beneficiaries

<p>Does the <a href= "https://anthonyspark.com/e246-how-to-collect-the-mta-covid19-death-benefit/"> MTA covid death benefit</a> have beneficiaries, and if not, who should inherit? The MTA is paying a pretty generous amount (about $500,000) to the estate of any employee who passed away with or from covid. The requirements seem to be tightening up a bit, but we’ll see what comes of it.</p> <h2>Have your MTA Covid death benefits been paid to the wrong person?</h2> <p>We’ve had a few of these cases. Although well-intentioned and hardworking, the folks at MTA don’t seem to be experienced with estate issues. They are probably also overwhelmed because Covid benefits are a new thing. Because the benefit is significant, MTA is probably getting a different energy from these heirs as opposed to heirs just looking to claim the decedent’s last paycheck.</p> <p>For example, Mr. S. was confused because MTA told him they would pay benefit to him. Since he was named as beneficiary on son’s pension, Mr. S. was told that the Covid benefit would go to him, too... even though Mr. S.’s son had a surviving wife and kids.</p> <p>It seems that the son never updated his beneficiary designations when he got married and had kids. We see this happen often, and it is a main reason why we don’t recommend using beneficiary designations.</p> <p>In another example, the MTA paid the full amount to Mrs. B., but her husband died with no will and with kids from a prior marriage.  When you die with no will, your estate is supposed to go roughly half to your surviving spouse and half to your kids. Should his children from a prior marriage have received part of the benefit? It was actually the kids who called us to ask this, because dad’s second wife (Mrs. B.) got all the MTA Covid death benefit money.</p> <h2>Does the MTA Covid death benefit have named beneficiaries?</h2> <p><img class="aligncenter size-medium wp-image-42616" src= "https://anthonyspark.com/wp-content/uploads/2022/08/Does-the-MTA-Covid-death-benefit-have-named-beneficiaries-300x169.jpg"