Brokers that allow minors in beneficiaries

Discussion in 'Retail Brokers' started by David Donner, May 15, 2021.

  1. Are there any broker that allow 16 year olds to be the sole beneficiary on a brokerage account?
     
  2. Robert Morse

    Robert Morse Sponsor

    Do your mean a joint account with rights of survivorship or an individual account with a Transfer on Death?
     
  3. Individual Account where the sole beneficiary is my 16 year old son.
     
  4. Robert Morse

    Robert Morse Sponsor

    I would have to ask. If you want me to, email me.
     
  5. Tradex

    Tradex

    In the US you must be at least 18 to enter into any kind of legal contract, so technically children cannot open their own brokerage account.

    In your case your son will be able to take full control of your trading account once he reaches age 18 (or 21, depending on state laws).
     
    Last edited: May 15, 2021
  6. 2rosy

    2rosy

    this was a thing in the pre '80s world. wealthy families have accounts in their children's name
     
  7. Robert Morse

    Robert Morse Sponsor

    I checked the TOD form- If beneficiary is a minor, you must designate a custodian.
     
    David Donner likes this.
  8. I used a trust set up for my children as the beneficiary.
     
  9. Could you explain that a bit more?
     
  10. Fain

    Fain

    Most brokers will allow this. It's more the rare case where you run into issue where you can't.
     
    #10     May 16, 2021