FAQs: How to Add a Successor Participant on Your 529 College Savings Plan
What's the difference between a beneficiary and a successor participant?
The beneficiary on your 529 college savings plan is the student for whom you are saving. Your account is for his or her benefit. Your successor participant oversees the plan for your beneficiary in the event of your death.
How do I change the beneficiary on my plan?
If your designated beneficiary (student) decides not to attend college, you can change the beneficiary on your plan. However, the new beneficiary must be an eligible family member of the original beneficiary to avoid federal income taxes and the 10% federal penalty.
- Where can I add beneficiaries on my accounts that aren't 529 college savings plans?