New distribution rules may require 2007 amendment.(Pension Protection Act of 2006)

Included in the legislation of the Pension Protection Act of 2006 (PPA) is a provision that affects the distribution process for nonspouse beneficiaries. This change in law applies for distributions after 2006 and will require a revision to plan documents, the Summary Plan Description, and distribution materials that plan administrators provide to beneficiaries. The PPA change greatly lessens the difference in the distribution options applicable to a participant's surviving spouse and to other beneficiaries. It should lessen the frequently onerous results faced by nonspouse beneficiaries.

Prior to the PPA, the death benefits for participants who died before they had begun to receive any required minimum distributions had to be paid …