Robert W. Davis, Jr.,
Attorney at Law
CALL 662-269-4454

CALL 662-269-4454

Vigorously Protecting Your Rights

Photo of Robert W. Davis

What happens to college savings in a divorce?

On Behalf of | Oct 14, 2022 | Divorce |

Money and the division of marital property are some of the most complex issues in a divorce. Mississippi couples may find that they are unsure of how to divide the money they set aside to pay for their kids’ future college education. They may be at odds over who should pay for college and which parent should manage the college savings fund. This is a complex matter that can lead to contention and disputes, and a final divorce order should clearly address these savings. 

Addressing a complicated issue 

In many cases, marital property is equitably divided between the two spouses. However, it is prudent not to assume that this will be the case with savings specifically earmarked for college expenses. Some parents are able to reach a negotiated settlement regarding these assets, such as agreeing to place the funds in a 529 account.  

With a 529 account, the person who invests the fund is considered the owner of the account. In a divorce settlement, it will be helpful to clearly establish which parent is in charge of the account, how the parents will make decisions regarding these funds and other details. This will ensure the funds are used appropriately and that they are invested prudently. 

Protecting the kids’ interests 

Even though many types of savings accounts are considered marital property, that does not mean that a college savings fund will be split in a divorce. Mississippi parents may decide it is best to keep the funds as they are, managing them in a way that is in the interests of their kids. When addressing college funds in a divorce, it may help to discuss the matter with an experienced family law attorney. 


FindLaw Network

Start Protecting Your Future Today

To schedule an appointment to talk to me about your case, complete and submit the form below.