College tuition prices currently range between almost $10,000 and nearly $36,000 per year, depending on whether a student attends private or public college, and an in-state university or one that is outside their state of residence. Those figures, which have been increasing at an alarming rate over the last decade, are expected to rise even further over the next several years, which is why so many parents have college savings accounts for their children.
Unfortunately, if the parents eventually divorce, the child’s college savings account could be split between the parties. What is more, parents may find it more difficult to save for their child’s college tuition once the divorce has been finalized. Thankfully, there are preventative measures that can be taken during the divorce process to protect a child’s future education. Learn more in the following sections, including how a seasoned divorce attorney can help to improve the final outcome in your Illinois divorce case.
Splitting a College Savings Account in Divorce
In a divorce, marital assets are valued and then distributed equitably between the parties. A child’s college savings account, though meant for the child’s future, is typically included in the marital estate. Parents can agree that the account will remain intact, under one parent, or they can split it amongst one another. Keep in mind that there are pros and cons to each choice (personal spending of the tuition money, having fewer liquid assets if you take the account in the divorce, etc). As such, it is recommended that you discuss your options and their potential consequences with a seasoned divorce lawyer before making any final decisions.