TOD/POD Accounts in Pennsylvania
By Sean Quinlan, Esq. · Updated January 15, 2025
Pennsylvania's Multiple-Party Accounts Act authorizes Transfer-on-Death (TOD) and Payable-on-Death (POD) designations on bank and brokerage accounts. They bypass probate cleanly.
How to set up
Most institutions have a one-page form. Beneficiary designation goes into effect at death; account remains fully owned and controlled by the depositor during life.
Tax treatment
TOD assets are still subject to PA inheritance tax at the beneficiary's relationship rate. The exemption is from probate, not from tax.
Coordination
Stale TOD designations override the will. Audit every account annually.
This article is general information about Pennsylvania law as of the update date above. It is not legal advice for your situation and does not create an attorney-client relationship. For advice on your specific facts, please schedule a consultation.
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