jmtigers Southern Miss Fan 1826.71 miles from USC Member since Sep 2003 3214 posts
re: I'm opening a 529 for both of my daughters today (Posted on 1/3/13 at 10:11 am to LSUSUPERSTAR)
Do you have a Roth IRA for you and your spouse? I would fully fund those first. The flexibility of a Roth outweighs the advantages of a college savings plan, IMO.
Catman88 LSU Fan Baton Rouge, LA Member since Dec 2004 36377 posts
re: I'm opening a 529 for both of my daughters today (Posted on 1/3/13 at 10:59 am to Cdawg)
Just compared NY to LA and really dont see any advantage that I can make out there. But I do see some disadvantages such as losing out on some state tax savings and a match of some funds.
LSUSUPERSTAR LSU Fan Arlington, TX Member since Jan 2005 8713 posts
re: I'm opening a 529 for both of my daughters today (Posted on 1/3/13 at 11:27 am to jmtigers)
We chose 529 over Roth due to tax savings on gains made which go toward qualified education costs. Plus family members can contribute to them much easier. My in-laws are going to do an auto contribute.
quote: I guess one is better for short term since his oldest daughter will be in college in 4 years.
Exactly. We researched using Morningstar (and other sources)and decided on NY and OH.
quote: Just compared NY to LA and really dont see any advantage that I can make out there.
Since we live in TX, there are no tax benefits by choosing the TX or LA ones.
For the 2 yr old, NY made sense due to performance (which I know can't predict the future) and low fees. For the 14 yr old, OH made sense due to a high performing Bond fund (again that doesn't mean it will do great in the future). For both, we chose the static options which are akin to how a 401k works.
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