- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
re: 529 START Funds
Posted on 8/24/22 at 8:57 pm to couyon2
Posted on 8/24/22 at 8:57 pm to couyon2
Did UTMA accounts for my kids. Has it’s benefits and it’s shortcomings.
The 529 is the best choice if education is your goal. Tax advantaged for those going to college for sure.
I chose the UTMA because I believe that having the choice to invest in Index Funds or ETF’s like VTI or VOO will outperform the 529 especially on a long term of 10-15+ years despite the tax sheltering of 529’s. The better variable rate of return paying off over the fixed rate associated with many 529 plans.
The UTMA also gives them the ability to use the funds for something other than education like a home or starting a small business.
It’s my belief that college educations are going to become both less prevalent and also less expensive in the near future.
As an added benefit; if my bet proves wrong you can move from a UTMA to a 529 easily.
The 529 is the best choice if education is your goal. Tax advantaged for those going to college for sure.
I chose the UTMA because I believe that having the choice to invest in Index Funds or ETF’s like VTI or VOO will outperform the 529 especially on a long term of 10-15+ years despite the tax sheltering of 529’s. The better variable rate of return paying off over the fixed rate associated with many 529 plans.
The UTMA also gives them the ability to use the funds for something other than education like a home or starting a small business.
It’s my belief that college educations are going to become both less prevalent and also less expensive in the near future.
As an added benefit; if my bet proves wrong you can move from a UTMA to a 529 easily.
This post was edited on 8/24/22 at 9:06 pm
2
Posted on 8/25/22 at 7:30 am to wiltznucs
quote:
UTMA
Who 'owns' those funds?
How does the capability of transferring between beneficiaries compare to 529?
Posted on 8/25/22 at 10:28 am to wiltznucs
quote:
I chose the UTMA because I believe that having the choice to invest in Index Funds or ETF’s like VTI or VOO will outperform the 529 especially on a long term of 10-15+ years despite the tax sheltering of 529’s
You can invest in 529s in mutual funds. It is limited for sure but the LA one has total US stock, total world stock, total international stock, age based moderate/growth/aggressive funds, and small/mid/large cap index funds. So in general you can put the money into the total us stock fund and do the same as the VTI. There are definitely limitations and hence why I am not going crazy but putting some amount in that I feel comfortable will get spent on "educational expenses" at some point.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News