大学储蓄计划
If you are a resident of Indiana, this is the number one vehicle to consider when saving for 大学. 这无疑是最好的选择, as the state of Indiana offers a tax credit of 20% on contributions up to $5,000. For example, if you contribute $5,000 as a resident, you get $1,000 back on your taxes. This is like you are receiving an instant 20% return on your investment.
每个州都提供自己的529计划. Check to see if you get a tax credit or deduction for contributions to your state plan. 如果是这样，最好在这种状态下开一个529账户. If not, then certain states’ plans are better than others as investment options and costs differ. The important thing to note here is that you do not have to live in a certain state nor does your kid have to go to a certain university in that state to enroll in their 529 plan.
All growth that is earned in a 529 account can be withdrawn tax-free if used for qualifying educational expenses (and that list is quite long).
优点:免税增长, 潜在的州税收抵免, 简单的规则, 没有收入和年龄限制, 受益人可以换成其他家庭成员, 符合K-12费用报销, 有资格获得认证的学徒计划费用
缺点:不用于教育费用的退学罚款
For a detailed write-up of 529s, check out this excellent write up by fellow advisor Josh Bentz: http://info.www.cclvcr.com/college-savings-season/.
应税投资账户
What do you do if you are not 100% sure your kid will go to 大学 or you are worried about overfunding a 529 account? 这就是应税投资账户可以发挥作用的地方. 这些只是典型的储蓄, brokerage accounts that you can use to invest in the stock and bond market. 它可以用于任何目的- 2nd 房子，更大的房子，新车，土地，生意，退休，或者 大学. 如果不需要上大学的话, then it can be used to fund any other goal or dream that you have outlined. I personally only put $5,000 into a 529 plan each year to get the full Indiana state tax credit. Any additional savings (outside 401(k) or Roth IRA) goes into a taxable account for potential 大学 use.
优点:完全灵活，易于设置，如果不用于大学，没有处罚
缺点: taxes on earnings – dividend taxes and capital gain taxes at sale, no state income deduction
Roth ira
罗斯个人退休账户是终极退休账户. I would take a $1 in a Roth IRA over $1 in a brokerage or traditional IRA account any day. 罗斯个人退休账户有一些有趣的特点值得注意, 尤其是在大学规划方面. 因为捐款是用税后资金做出的, all contributions can be withdrawn at anytime at any age with no penalty. For example, if I contribute $5,000 per year for four years, I can withdraw $20,000 at any time. There are a few 5-year holding rules on withdrawals of earnings that you’ll need to be aware of. 如果你提取10美元以上，这项罚款将不受影响,为子女或孙辈支付高等教育费用.
优点: flexible, contributions can be withdrawn at any time – income tax and penalty free
缺点: annual contribution amount is low, income limits for high earners, no state income deduction
Coverdell教育储蓄账户(ESAs)
正式名称是教育ira, ESA允许家庭成员最多节省2美元,一个孩子上学要花五千美元. All Coverdell funds can be used to pay for education expenses for grades K-12 as well as 大学. 基金必须在学生年满30岁或纳税前使用, 费用, 撤资将伴随着惩罚.
优点: easy to establish, 符合K-12费用报销, tax-free growth
缺点: annual contribution amount is low, income limits, no state income deduction
额外的注意事项
- The SECURE Act that was passed into law in December 2019 states that money in a 529 plan can now be used to pay off student loans (lifetime max of $10,000).
- Due to the high funding capabilities and the tax-deferred growth of 529 plans, some clients use this account as a legacy planning tool for future generations. 因为受益人可以改为不同的家庭成员, 这些说法可以代代相传.
总之，每种情况都是独特的. We generally lean toward leveraging the full advantages of 529 plans when planning for 大学 but there are many options. Just remember one thing – your child or grandchild can take a loan for 大学. 你不能为退休而贷款. You can best help others only after you have first taken care of yourself.
