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Enter data for special allocations

Special allocations to beneficiaries are rarely used. The most common example is when a beneficiary dies and the trust instrument dictates that all items of income/expense earned/incurred up until date of death must be specially allocated.
Follow these steps to enter data for special allocations.
  1. In the
    Organizer
    , go to
    Beneficiary Info (1041)
    .
  2. Select
    Beneficiary Data
    , then
    Beneficiary Information
    .
  3. Open the beneficiary's name you're specially allocating to.
  4. As always, you'll need to consult the trust document, but if the decedent beneficiary received a prorata share up until the date of death, consider simply using a dollar amount for that beneficiary, then enter percentages for the other beneficiaries.
    • Select
      General Beneficiary Information
       and enter a dollar amount
      Required
       distribution for the decedent. Then use the
      Beneficiary name
       drop-down to enter a
      Percentage
       distribution for the remainder beneficiaries. Make sure the percentages entered for the remaining beneficiaries equals the distribution total. For example, distribution total = 100% required. Bene 1 = 4,000 required. Bene 2 and Bene 3 both = 50% required.
    • Otherwise go to the
      Special Allocations (By Beneficiary)
       folder. Be careful to enter in the proper column and for the proper line item. If you're not certain, drill down on the amount field to get to the proper special allocations field.
    Special Allocations distributions are considered 1st (Tier 1 if entered as Required).
  5. Go to the
    Misc Allocation Options
     folder in the
    Beneficiary Info (1041)
    folder.
  6. Select
    Spec Allocation - Options
    .
  7. Select the special allocation options that are right for you. This will depend on how you chose to enter data in the steps above.
  8. Do a full recompute and review
    Beneficiary Allocations
    . You may need to revise special allocation entries if that beneficiaries amounts don't appear in the same section as remainders.
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