re: What would be the best account to open to save for your kid(s)?

I was told UTMAs are considered an asset of the child and when it comes time to apply for college aid (grants and loans), it hurts them pretty bad showing as their assets. 529 is the parent's asset. Kids assets are weighted much more heavily than parent's assets and hurt them more when trying to get aid, so we were told.

Can anyone confirm this, or have direct experience with this? Are UTMAs also subject to kiddie tax?

We opened up a Vanguard age-based direct portfolio 529 last week for our 4-month old son that they offer for Colorado residents/taxpayers and is Colorado tax exempt, through collegeinvest dot org.