custodial account Antonyms
No Synonyms and anytonyms found
Meaning of custodial account
Wordnet
custodial account (n)
a brokerage firm account that parents have created for a minor
custodial account Sentence Examples
- Opening a custodial account allows parents to invest on behalf of their children.
- A custodial account provides a way to transfer assets to minors until they reach legal age.
- The custodial account can hold various investments such as stocks, bonds, and mutual funds.
- Contributions to a custodial account are made with after-tax dollars.
- The custodial account custodian manages the investments until the minor beneficiary reaches adulthood.
- Custodial accounts offer tax advantages, as some investment gains may be taxed at the child's lower rate.
- The custodial account custodian has a fiduciary duty to act in the best interest of the minor beneficiary.
- Funds in a custodial account can be used for the minor's education, medical expenses, or any other purpose deemed suitable.
- Upon reaching the age of majority, the beneficiary gains control over the custodial account and its assets.
- Custodial accounts are governed by specific rules and regulations to ensure proper management and protection of the minor's assets.
FAQs About the word custodial account
a brokerage firm account that parents have created for a minor
No synonyms found.
No antonyms found.
Opening a custodial account allows parents to invest on behalf of their children.
A custodial account provides a way to transfer assets to minors until they reach legal age.
The custodial account can hold various investments such as stocks, bonds, and mutual funds.
Contributions to a custodial account are made with after-tax dollars.
