Beneficiary Changes

Q: May I change the beneficiary?

A: Yes. The account owner may change the beneficiary (student) on the account by submitting a written request. The account owner must sign the request. Click here for the Beneficiary Change Form.

A beneficiary change to a family member is a non-taxable event and is not subject to federal income tax or the additional 10 percent federal tax. The plan does not charge a fee to change the beneficiary. A family member is defined as a person related to the beneficiary as follows:

• A son or daughter, or a descendant of either

• A stepson or stepdaughter

• A brother, sister, stepbrother or stepsister

• The father or mother, or an ancestor of either

• A stepfather or stepmother

• A son or daughter of a brother or sister

• A brother or sister of the father or mother

• A son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law

• The spouse of any of the foregoing individuals, including the beneficiary

• A first cousin of the beneficiary

For this purpose a child includes a legally adopted child and a brother or sister includes a half-brother or a half-sister.

Note: The new beneficiary must meet the standard requirements for Florida residency and must be in 11th grade or younger and under the age of 21. If the new beneficiary is over the age of 21, this contract change will require a special petition to the Florida Prepaid College Board. The special petition must be in writing, signed by the Purchaser.

If the account owner has an installment payment plan and the contract is transferred to an older sibling who enrolls in college prior to completion of the installment payments, the account owner must pay off the contract in order for the student to utilize the contract benefits

Click here to view the Beneficiary Change Form

Q: If a child with a contract uses only a portion of the contract, may the remainder be transferred to a sibling?

A: Yes, as long as the new beneficiary does not have an active prepaid plan with benefits still available. The new beneficiary must also still meet standard residency requirements.

Click here to view the Beneficiary Change Form

Q: What are my options if the child enrolls in a college or university but decides to leave school prior to graduating?

A: (1) The account owner may keep the contract so that the child may use it at a date within 10 years of the child's first enrollment in college; or

(2) The account owner may request a refund. The refund will consist of the prorated amount originally paid into the plan for any unused credit hours. Payments for the remainder of any academic semester in which the beneficiary was enrolled at the time of withdrawal or termination will not be refunded.

Q: May a beneficiary's contract be transferred to a parent or step-parent?

A: A beneficiary’s contract may be transferred to a “family member” of the original beneficiary. .  Please see “Account Owner Eligibility” for guidelines.

Q: What are my options if a child who has a contract with the Florida Prepaid College Plan decides to drop out of high school?

A: The account owner may retain the contract for the beneficiary, since beneficiaries have 10 years from their projected postsecondary enrollment date to use the Plan benefits. If the beneficiary completes a diploma or its equivalent, the Plan is still available for postsecondary use. The account owner may, instead, cancel the contract and request a refund of monies paid into the Florida Prepaid College Plan. As an alternative, the account owner may transfer the contract to a sibling of the original beneficiary if he or she drops out of high school.

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