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Reply to "Virginia529 prepaid vs Invest"
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[quote=Anonymous]There is a lot about the comparison on the VA 529 Web site, but it all boils down to: -- Prepaid will basically buy you the equivalent of X years of tuition (assume 4?). The ROI is linked directly to whatever the rate of inflation for tuition is. A decade ago that inflation was crazy high. More recently it's been slower. All you're buying is in-state tuition, you'll have to cover board and any difference between the cost of in-state tuition and private school if your kid doesn't go to a UVA state institution. Risk is relatively low. -- Invest is higher risk since your money is literally in the market. However, the potential for a higher ROI is there. Your money could grow more, giving you more buying power for private school or help pay for the cost of board. But you could also lose money.[/quote]
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