You are allowed to name a spouse, non-spouse or trust as a beneficiary to your 403(b) account. However, State law may protect the rights of the spouse to all or a portion of the income from your account if a non-spouse beneficiary is designated. In addition distribution rules differ for spouse and non-spouse beneficiaries. Tax Deferred Solutions recommends you consult with an attorney or financial adviser prior to designating your beneficiary.
403(b) Plans: Can I name someone other than my spouse as my beneficiary?