college funding

[Betone]

Being a new Grandfather I want to put aside monies for the next 4 years towards my grandson's college fund. Utah's educational savings plan seems to be one of the best. Anyone have experience with college savings plans? Is there a better plan out there ?

 

[yyz]

529 tax free college funds are pretty nice.

 

[Betone]

529 tax free college funds are pretty nice.

:0008

 

[stockjockey]

529 plans are the superior vehicle for college savings due to the tax free benefits on the earnings. You may also be entitled to a state tax deduction in your state, I'm not sure about Utah. Another factor to consider is the investment options that your state plan has to offer. If the funds in the plan stink, there are always great out of state options as well. Good luck.

 

[DuckDogs]

I believe the "utah plan" you are referring to would be their state 529 plan. As others have already said, the 529 is the way to go. If the tax implications aren't such that it is beneficial for you from a tax standpoint. Go with the plan that offers diverse investment options with the lowest fees. Vanguard is always a good choice when it comes to low fees, the plan offered in iowa offers vanguard options.

Congrats on the little one:toast:

 

[Betone]

I believe the "utah plan" you are referring to would be their state 529 plan. As others have already said, the 529 is the way to go. If the tax implications aren't such that it is beneficial for you from a tax standpoint. Go with the plan that offers diverse investment options with the lowest fees. Vanguard is always a good choice when it comes to low fees, the plan offered in iowa offers vanguard options.

Congrats on the little one:toast:

Thank you guys, Yes...while the current state 529 offers 5% tax deductions. Utah has the best return on investment % . From what I have read. :toast:

 

[vinnie]

my grandson started funding his own :shrug:

 

[Betone]

my grandson started funding his own :shrug:

:142smilie

 

[layinwood]

I love looking at my kids 529. Nothing like looking at the statement and seeing less money in there now than what was put in. :facepalm:

 

[Betone]

Ended up with T-Rowe Price :0074

 

[flapjack]

Hey Betone,

Why T Rowe Price? I'm looking at funding my new born's college savings and the 529's looked the best option and out of those, since CA doesnt give any breaks, so no incentive to stay in state. The Illinois 529 looked the best - lowest plan fees - .018% for the index. But, I'm far, far from an expert so wondering what you saw in T Rowe Price that you liked and what type of plan did you do?

 

[Betone]

Hey Betone,

Why T Rowe Price? I'm looking at funding my new born's college savings and the 529's looked the best option and out of those, since CA doesnt give any breaks, so no incentive to stay in state. The Illinois 529 looked the best - lowest plan fees - .018% for the index. But, I'm far, far from an expert so wondering what you saw in T Rowe Price that you liked and what type of plan did you do?

I have checked through Morningstar, and T.Rowe 529 has a gold rating or top 2. My current states plan is awful. I also have my retirement plan through T. Rowe and it makes it easy for me to have them as the program manager. :0008

 

[flapjack]

Thanks for the info.