The cost of education continues to increase, so the need to get started early is essential. You have several choices when accumulating money for the education of your children or grandchildren, nieces or nephews. We have outlined several of them for your review.
Whether you’re paying tuition costs now or saving for a future goal, it’s important to ensure that your education strategy is compatible with achieving your retirement income and related financial objectives.
Tax considerations and retirement income needs must be weighed and evaluated before choosing a
specific strategy. It’s important to remember that while education expenses can be funded through borrowing, retirement expenses cannot.
Since we’re an independent firm, we’re under no pressure to recommend proprietary education savings programs or investment products. Our only concern is which program best addresses your needs. The following are among the most popular education savings plans available today:
- 529 Plans
- Coverdell Education Savings Accounts
- Uniform Gifts to Minors Act
- Uniform Transfers to Minors Act