Learn about the definition, key features, pros, cons, and how to open Uniform Transfers to Minors Act (UTMA) Accounts. Compare them from UGMA accounts.
An UTMA account can be a valuable tool for parents, grandparents, trustees, personal representatives, and others to transfer money or property to a minor without …
UTMA accounts, named for the Uniform Transfers to Minors Act that governs them, offer a tax-advantaged way to gift assets to minors without the expense of setting up a trust. (And by the way,...
Every state establishes their own provisions with regard to the Uniform Transfers to Minors Act, including the time limit for a UTMA account which is established …
The money in the UTMA account will need to be reported on the minor's FAFSA (Free Application for Federal Student Aid) form when applying for student aid — …
Uniform Gifts to Minors Act (UGMA) All States and jurisdictions in the United States adopted the UGMA in some form. This Act allows donors to make gifts to minors …
Convert the UTMA to a 'Minor's Trust': A few state statutes, e.g. Florida and Illinois, permit the UTMA custodian to transfer the UTMA assets to an IRC 2503 (c) minor's trust.
The age at which the minor takes control of the custodial account depends on the minor's state of residence and whether the custodial is a Uniform Transfers to Minors Act …
UTMA and UGMA accounts are taxable investment accounts set up to benefit a minor, but controlled by an adult custodian (parent, guardian, relative, etc.) until …