Rich Calvario, a VP at Pershing wrote an article on the benefits of using 529 plans. It appeared in Investment News on September 23, 2015. The article is titled, “Advisers still aren’t taking advantage of the opportunities, benefits 529s can provide clients. In this article, Fred Amrein was quoted several times describing how his clients benefit by using 529 plans as part of their college funding strategy.
Finding a total college funding solution requires combining educational tax strategies and educational saving options.
Determining the correct strategy for paying for college will be change for each family depending on the following criteria:
- Income of the family
- Parent’s age
- Number of children in college
- College gifting policy
This article specifically discusses how 529 plans may be an area that is not fully utilized by both families and advisors. Fred gives 5 ways to work successfully with 529 plans as a college saving tool. Remember, your goal should be to maximize your resources and lower the out-of-pocket cost of college tuition.