529 college savings plans are qualified tax-preferred savings instruments that many families open to put money away for a child’s education.
For couples who remain married, though they are continually contributing to the 529 account, for all intents and purposes the funds held there belong to the child, for use in future educational expenses.
When couples divorce, they learn that the 529 account is a marital asset whose value is subject to division, so whether jointly or singly held, the asset must be properly accounted for and the balance handled properly.
In the most amicable of divorces, it may make sense to continue to jointly hold a 529 account, but for most divorcing couples, other arrangements will have to be made, usually in the larger context of agreements related to college savings.
The attorneys at Zelenitz, Shapiro & D’Agostino can help develop settlement agreements that properly account for the funds in a 529 in the way that works best for you.
Call us today at 718-523-1111 for a free consultation with a Queens divorce attorney.