We have 529s for both kids. It's got excellent tax benefits, plus it can be used for other family members educations should our kids not want/need the money AND it can also be used for non-educational things (with penalty, of course). That, and the child isnt actually the "owner" of the account (so they cant turn 18 and take the cash lol!).
Over the past decade public college costs have risen at an average rate of 6.9% per year and four-year private college costs have risen at an average rate of 5.8% per year, according to the College Board's "Trends in College Pricing 2008".
I can't imagine how much they will rise over the next 20 years.
With a Tuition Promise Fund- which is a Section 529 prepaid tuition plan. It allows you to lock in the cost of undergraduate college tuition and required fees, protecting you against future tuition inflation. It can help you protect yourself and your children from rising tuition costs with a prepaid tuition plan.
We have 529s for both kids. It's got excellent tax benefits, plus it can be used for other family members educations should our kids not want/need the money AND it can also be used for non-educational things (with penalty, of course). That, and the child isnt actually the "owner" of the account (so they cant turn 18 and take the cash lol!).
Oh you have a 529... I am really thinking of buying a 529. It sounds really promising not only for me but for a kids future.
We may look into something like this later, but I'm curious as to how they work. Any school, any location? If my kid wants to go to Oxford or the Sorbonne, will it work without penalties, or does it only count toward US institutions??
Contemplating the snow.
Mes Petit Choux
I can't go back to yesterday - because I was a different person then. ~ Alice
Re: college unit fund
Over the past decade public college costs have risen at an average rate of 6.9% per year and four-year private college costs have risen at an average rate of 5.8% per year, according to the College Board's "Trends in College Pricing 2008".
I can't imagine how much they will rise over the next 20 years.
With a Tuition Promise Fund- which is a Section 529 prepaid tuition plan. It allows you to lock in the cost of undergraduate college tuition and required fees, protecting you against future tuition inflation. It can help you protect yourself and your children from rising tuition costs with a prepaid tuition plan.
Oh you have a 529... I am really thinking of buying a 529. It sounds really promising not only for me but for a kids future.
Mes Petit Choux
I can't go back to yesterday - because I was a different person then. ~ Alice