Deferred distribution is a term used in finance and estate planning. The spelling of the word is /dɪˈfɜrd dɪstrɪˈbjuʃən/. The first part of the word is spelled as "d-i-f-e-r-r-e-d" with the primary stress on the second syllable. The second part of the word is spelled as "d-i-s-t-r-i-b-u-t-i-o-n" with the secondary stress on the fourth syllable. The word means delaying the distribution of assets or funds until a later time. It is a common strategy used to manage assets in a tax-efficient manner.
Deferred distribution is a legal term commonly used in the field of family law to describe a method of dividing marital assets during divorce proceedings. In this context, deferred distribution refers to the postponement of the actual division of assets and liabilities until a specified future event or condition occurs. This approach allows both parties to have a clearer financial picture before dividing their property, particularly when certain assets are difficult to value or cannot be easily divided.
The concept of deferred distribution typically involves the creation of a financial plan or an agreement between the divorcing couple that outlines when and how the assets will be distributed. This plan may take into account factors such as the duration of the marriage, the contributions made by each spouse, and any other relevant financial circumstances.
Deferred distribution can be advantageous as it provides an opportunity for the couple to secure a proper evaluation of assets and liabilities, which may be necessary for accurate division. It can also potentially minimize conflicts and promote a fair distribution of assets by giving all parties involved an opportunity to negotiate and reach agreements regarding the division of marital property.
However, it is important to note that the specific rules and regulations concerning deferred distribution may vary depending on the jurisdiction in which the divorce is taking place. Therefore, it is advisable to consult with a qualified attorney or legal expert to fully understand the implications of deferred distribution in a particular jurisdiction.
In life-insurance, a plan whereby the first apportionment of profits on the policy, the first dividend, is made at the end of a definite number of years-five, ten, or more.
A practical medical dictionary. By Stedman, Thomas Lathrop. Published 1920.
The etymology of the term "deferred distribution" includes the following components:
1. Deferred: The word "deferred" comes from the Middle English term "deferren", which originated from the Latin word "deferre". In Latin, "de-" means "away" or "down", and "ferre" means "to bring" or "to carry". Therefore, "deferre" originally meant "to carry away" or "to carry down". Over time, it evolved to mean "to postpone" or "to delay".
2. Distribution: The word "distribution" derives from the Latin term "distributio", which is the noun form of the verb "distribuere". "Dis-" means "apart" or "in different directions", and "tribuere" means "to give" or "to assign".