Do you own a 529 Plan?

If you have a 529 education plan or UTMA (custodial) account for a child or grandchild, we suggest that you look closely at the titling of that account. Most account plans only allow for one owner.

What happens if the owner dies before the funds are used? The account may require a probate administration to transfer ownership to another person. Unfortunately, we had to assist more than a few clients with this type of probate transfer. Thankfully, this can be avoided rather easily.

529 plans allow for a successor owner while UTMA accounts allow for successor custodians. You simply need to contact the financial institution where the account is held and add a successor. Many institutions allow you to do this online as well.

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Joshua Keleske

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