Saving for your children’s education expenses can feel like a daunting task. Moreover, putting saving on the back-burner (procrastinating) can really compound your troubles.
The Excelsior program (if your child qualifies) will pay exclusively for tuition and nothing else. Many of my clients bring up this program as an end-all be-all for college savings concerns.
On average, those who even qualify for Excelsior will save 20-35% in total education costs. So what about the remaining 65-80%? That’s on the student and their family.
Tuition rates continue to stagger over all other forms of inflation; not planning ahead can create unmanageable debt and overwhelm even the most financially stable families.
The 529, when implemented APPROPRIATELY, is a no-brainer for students and their families. - Tax credit for contributors - Tax-free withdrawals for education - Tax-deferred growth that can greatly outpace inflation.
There is no advantage to save for education expenses using checking, savings, CDs or other money market accounts in nearly today’s interest rate environment.
With New York’s 2018 amendments to the 529, families can now utilize the plan for non-collegiate, private education costs as well.
It’s 2018. You wouldn’t take legal advice from your relative because he claimed to have beaten a speeding ticket. You wouldn’t treat acute arrhythmia or extract your own teeth using WebMD. Your financial picture is no different. There are so many blanket statements and inappropriate recommendations on the internet. Don’t be stupid. Everyone’s circumstances are unique. This same logic backs the necessity of medical diagnostics prior to any major decision/procedure. If you have any doubts, contact a LICENSED professional near you. ———————————————————————————#financialfreedom #401k #403b #457 #services #wealthmanagement #collegesavings #instainvest #tuition #investing #retirement #tips #financialadvisor #financialplanning #instafinance #stocks #money #educate #family #529 #save #saving