Author Topic: Who Owns a College IRA?  (Read 522 times)

alienbogey

  • 5 O'Clock Shadow
  • *
  • Posts: 41
Who Owns a College IRA?
« on: November 20, 2018, 05:45:47 PM »
Our situation is that our daughter, who is doing quite well on her own, will likely never again attend higher education.  If she does she will handle her own expenses.  There is a not insubstantial amount left in the College IRA we established for her.  She is approaching the maximum age where proceeds must be distributed.

We would like to change the beneficiary of the College IRA to our grandson both to allow the funds to grow for another 15 years and to have an education safety net of sorts for said grandson, whose parents are struggling financially.

Can we, as the ones who who originally established the College IRA, change the person who it benefits?  If our daughter legally owns the College IRA, can she change it to benefit our grandson (her nephew)?


ixtap

  • Handlebar Stache
  • *****
  • Posts: 1514
Re: Who Owns a College IRA?
« Reply #1 on: November 20, 2018, 05:52:01 PM »
Is this a 529 or a Coverdell?

alienbogey

  • 5 O'Clock Shadow
  • *
  • Posts: 41
Re: Who Owns a College IRA?
« Reply #2 on: November 20, 2018, 09:42:26 PM »
Thanks for the reply.

We set this up so long ago I don't even know.  I just looked up paperwork and the annual statements label it a "I.R.A.-Education"  and another identifier of sorts labels it "SSB&T Cust CESA of [daugher's name] [my name] Resp Indiv"

ixtap

  • Handlebar Stache
  • *****
  • Posts: 1514
Re: Who Owns a College IRA?
« Reply #3 on: November 20, 2018, 09:46:10 PM »
Thanks for the reply.

We set this up so long ago I don't even know.  I just looked up paperwork and the annual statements label it a "I.R.A.-Education"  and another identifier of sorts labels it "SSB&T Cust CESA of [daugher's name] [my name] Resp Indiv"

CESA implies that it is a Coverdell (Education Savings Account), which fits more with the rules you mentioned. You should be able to file a transfer to another child with SSB&T.