Assigning a Beneficiary to Your Accounts

Last Updated: December 30, 2025

As you start your transition into retirement, it’s a good idea to review your investment and savings accounts and make sure you have an assigned beneficiary for each where possible. When you add your beneficiary to your savings, CD or checking accounts, banks frequently call these types of accounts POD (pay on death) or TOD (transfer on death) accounts. If you’re like most retirees, you probably have the bulk of your wealth in a tax-advantaged account, like a 401(k) or IRA. You might also have a Health Savings Account (HSA). It helps to make a list of all your accounts and review it closely, ensuring each one has a beneficiary assigned in the event of your death.

What is a Beneficiary?

Your beneficiary is someone listed on the account to receive your assets in the event that you pass away. When you have an assigned beneficiary (or beneficiaries), the assets you’ve accumulated in the account automatically goes to your beneficiary, and avoids being distributed according to the terms of your will. If you die with just bank and investment accounts, assigning beneficiaries to your accounts is a more efficient way to distribute your assets.

How to Designate a Beneficiary

• Make a list of all your investment accounts. This includes any retirement accounts from work, as well as any IRAs you have. Don’t forget about HSAs and taxable investment accounts, as well as bank accounts and CDs.
  
  
• Figure out which accounts can be combined. If you have multiple accounts, especially retirement accounts, combining them together during retirement can streamline your portfolio and finances. It also makes it easier to keep track of your assets, their performance and assign a beneficiary. You can also roll disparate HSAs into one account, as well as consolidate bank accounts.

• Assign a beneficiary. Many accounts make this easy. Simply log in, and under your Profile section, check to see whether you have a beneficiary. If you don’t, you can edit your account to add one. You can also call the account custodian to add a beneficiary. In many cases, you need the beneficiary’s Social Security number and address to add them.
  
  
• Review your beneficiaries regularly. Your beneficiary takes precedence over your will, so it’s a good idea to review your beneficiaries and make changes as needed. If you divorce, you might not want your ex-spouse listed as your beneficiary on your account, since they will get the money — no matter what’s listed in your will. And the same holds true in the event of the death of your spouse or one of your children; if this happens, you’ll need to assign a different beneficiary to avoid having the account go to probate. As you have major life changes, check your beneficiaries and update as needed.