Page 2 - Allisons Newsletter, Lakewood Edge - Jan 2019 Issue

college saving plans
YOUR MONEY

KIDS AND MONEY:

LAKEWOOD THE GIFT OF A PROMISING FUTURE

REAL ESTATE EDGE
by Steve Rosen neutral reviews, which means those
Publisher plans still hold some appeal because
Allison Van Wig nstead of showering your child of state tax breaks.
CA DRE #00985700 or grandchild with stuff and Morningstar, which has produced
I more stuff, give a gift that has the 529 ratings since 2012, also
more permanent value: a 529 college recognized two “most improved”
savings plan. plans for 2018: The Oregon College
And while shopping for a plan can Savings Plan and Arizona’s Ivy Invest
be complicated and confusing, new Ed 529 plan.
research on 529s from Morningstar On the flip side, the research
4435 E Village Rd
Long Beach, CA 90808 could make the selection process firm handed out negative ratings
easier. on five plans largely because they
562-882-1581 With a state-sponsored 529 haven’t cut fees as aggressively as
Allison@superbroker.com account, earnings are not subject their counterparts. The worst plans:
www.SuperBroker.com to federal taxes as long as the College Save in North Dakota, 529
withdrawals are used for qualified College Savings in New Jersey, the
education expenses, including tuition GIFT college savings plan in Arkansas
and technology. Even sweeter, many ones are the best and worst plans? investment management, investment and the TD Ameritrade 529 college
states offer tax deductions to residents How do fees stack up? What about options, oversight and whether plans savings plan in Nebraska.
on contributions to a plan. the quality of the investment offer any special benefits such as “The 529 industry continues to
Remember, you don’t have to management team? Performance? scholarships, grants and matching make significant fee cuts, so plans
limit your shopping to your own That’s where a new report from programs. standing still on fees have become
state’s plans, nor is there any Morningstar, the research firm best Based on those factors, increasingly unattractive,” said Leo
requirement that your future college known for its mutual fund rating, Morningstar tagged a plan with either Acheson, a Morningstar associate
6427 Busch Blvd., student attend good old State U. in provides help. a gold, silver, bronze, neutral or director.
Columbus, OH 43229 order to reap a 529’s tax benefits. The company recently released negative rating. If you’re considering gifting a 529
877.872.3080 And, remember, it’s the owner, its latest rankings of 529 plans, a Four plans earned gold ratings account to a child or grandchild,
www.DiscoverPubs.com
not the beneficiary, who controls the comprehensive analysis of 62 plans this year: Illinois’ Bright Start College check with the plan managers to see
Sudoku, Scrabble, Crossword assets in a 529. You can usually link nationwide that hold about 95 Savings plan, Invest 529 in Virginia, if they offer a card or certificate of
and articles distributed by your account to your 529 account so percent of the more than $300 billion Nevada’s Vanguard 529 College ownership that you can wrap. n
Tribune News Services and Savings plan and the my529/Utah
Brandpoint where noted. you can make regular savings, if you in investment assets.
© Copyright 2019 by wish. Morningstar ranked the plans Educational Savings Plan. ©2018 Tribune Content
Discover Publications, Inc. There’s certainly a lot to think on more than just investment There were 9 silver-rated plans, Agency, LLC Distributed by
All rights reserved.
about when choosing a 529: Which performance. It also analyzed fees, and 18 bronze, while 26 earned Tribune Content Agency, LLC
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