You and your spouse want to provide as much as possible towards your child’s future college education.\u00a0 So you did the responsible thing years ago and started a 529 college savings plan.\u00a0 But what happens if you and your spouse die while your child is still a minor?\u00a0 Well, your estate will become the owner of the policy while your child will remain the beneficiary of the policy.<\/p>\n
So what’s the problem then?\u00a0 Well, as with most things in the law (and seriously, I do NOT mean to sound like a smug law professor – no they’re not all<\/em> like that of course, but yeah, some really are! But I digress…) – it depends<\/strong>.\u00a0 (Now comes the Socratic Method I used to despise but have recently taken to using on my poor children to help them arrive at the answers to their own questions, partly to build their confidence and problem-solving skills, and partly, I confess, as a way to keep my own sanity when they’re asking me stupid questions to which I know they know the answers, but I digress again…) – How much is the 529 worth?<\/strong>\u00a0 Is it enough to push your estate up over the taxable threshold and make your plan inadequate to accomplish your estate planning goals<\/strong> (like maybe making sure your hard-earned money goes to your children rather than to taxes to be distributed however the government of the day sees fit? Oh man, I sound like I’m partying in a way I assure you I’m really not!)?\u00a0 How much would that 529 add to your probate estate and how much would come out in fees and expenses for dealing with it?<\/p>\n OK – sorry, I’d really love to stay and chat about such pleasant topics as our prospective premature deaths while our kids are still little and how on earth we’re going to pay for college for all our kids but this is my “office assistant”‘s “witching” or “sour” hour (a.k.a. Mama’s ready for “happy” hour!).\u00a0 So I’m gonna call it a day, get my other “assistants” and come back to the office later when it’s nice & quiet…\u00a0 In the meantime, if you have any questions for me, please post away in the comments here or on DGVE law\u2019s Facebook<\/a> or Instagram<\/a> pages(are you a fan? not my biggest fan, that’d be creepy, but just a regular fan).\u00a0 It’s been a long week (can you tell?).<\/p>\n <\/p>\n Hasta luego!<\/p>\n","protected":false},"excerpt":{"rendered":" You and your spouse want to provide as much as possible towards your child’s future college education.\u00a0 So you did the responsible thing years ago and started a 529 college savings plan.\u00a0 But what happens if you and your spouse die while your child is still a minor?\u00a0 Well, your estate will become the owner […]<\/p>\n","protected":false},"author":7,"featured_media":1887,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5,21],"tags":[],"yoast_head":"\n