When reading articles like this:
http://www.kirotv.com/education/9297347/detail.html
it reminds me that I haven’t started a 529 plan for my daughter. I spent about a half hour trying to figure out which plan is best and also requested information on the Washington state GET program, but I’m starting to get serious about opening a Kansas based 529 plan. It has a decent rating from the people that rate the plans and I can use Schwab to do it. One thing that doesn’t seem appealing is that there seems to be limited choices on what I can invest in.
It’s really all quite confusing. It sure is easier to fund a ROTH or a traditional IRA.
The other thing that I’ve been considering is just paying for her college out of our pocket at the time. By then we shoud have our house paid off, and our net worth should be pretty significant. I’ll probably end up doing a combination of both saving in a 529 plan and make up the difference at the time.
I procrastinated this for almost a year after my son was born. When I finally opened an account, I was still so overwhelmed by all the options that I decided to just go with my state’s plan, even tho it held no state tax advantages. Now, 1.5 years later, I’m regretting my choice. I’m switching to the Mass. plan, just because I can do it through Fidelity and then I can use the MBNA credit card that deposits 2% into a Fidelity 529. Also, easy online access is a must for me and my state’s plan’s interface sux.
I will probably move all my funds into the Fidelity account and close the other account, just because then I don’t have to keep the monthly autodeposit to avoid an annual account fee.
not sure but here is a FW thread on 529 plans
What 529 plan do you like best ASIDE from your state income tax considerations? Links and choices included.
http://www.fatwallet.com/forums/messageview.php?catid=52&threadid=302009&highlight_key=y
Thanks for the tip LSD!! I’ll check it out!
Sorry for the delay on this topic. Let’s just say I have a lot going on ;)
Anyway, we fund the Utah plan for one of our children and it has been fantastic. I have been with them for 5 years now and the service is great, low fees (Vanguard), and a solid set of options (we use option 2). It is always in the top 2 or 3 of all the ratings articles. Don’t know about Washington’s or Kansas’ plan, but I would compare them to Utah as a benchmark. Good luck.