Inheritance for a minor – 529 plan that can beRoll Over
What’s the best way to go for a 6-year old. I’m re-doing my Trust and would like it to read that a certain % of my assets ($) go into her plan upon my death. I’m in my early 80s.
Terry Says
That’s not a good idea. First, the whole idea of a 529 plan for a young child is to put money in NOW to grow TAX-FREE for college. So if you don’t think you’ll need the money, open the 529 account now and fund it.
No one gives us a guarantee. So, if you want to include a minor (as opposed to her parents) in your RLT instructions, your attorney will show you how to create a trust account, or a delayed distribution. It needs to be done correctly, since you can’t leave money directly to a minor. And if you don’t specify the state will get involved and name a trustee.
