what to do with a windfall

[Anonymous]

Anonymous wrote:

Anonymous wrote:The money was an unexpected (and much appreciated) bonus after a particularly well publicized success at work. We spent about $200 of it on a nice dinner to celebrate!

Not sure whether to put it in an account that's restricted to education. We have 3 kids --- 2 in kindergarten, 1 in first grade. We have about $60k in 529s, across the 3 kids. We are planning to pay the equivalent of tuition and room & board at our state school, plus half of the difference between that amount and whatever school they ultimately decide to go to.

Then I would put it into an investment account but label it education in your quicken(or whatever you use). I might put $20k into each child’s 529 first that will go a long way towards your goal.

$20k is not a “long way” towards the goal of a fully funded college education.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The money was an unexpected (and much appreciated) bonus after a particularly well publicized success at work. We spent about $200 of it on a nice dinner to celebrate!

Not sure whether to put it in an account that's restricted to education. We have 3 kids --- 2 in kindergarten, 1 in first grade. We have about $60k in 529s, across the 3 kids. We are planning to pay the equivalent of tuition and room & board at our state school, plus half of the difference between that amount and whatever school they ultimately decide to go to.

Then I would put it into an investment account but label it education in your quicken(or whatever you use). I might put $20k into each child’s 529 first that will go a long way towards your goal.

$20k is not a “long way” towards the goal of a fully funded college education.

I agree that it's not going to take care of college - I think it should all go in the 529's. But at the same time, doubling all three accounts when each kid has at least 12 years before college is a smart move.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The money was an unexpected (and much appreciated) bonus after a particularly well publicized success at work. We spent about $200 of it on a nice dinner to celebrate!

Not sure whether to put it in an account that's restricted to education. We have 3 kids --- 2 in kindergarten, 1 in first grade. We have about $60k in 529s, across the 3 kids. We are planning to pay the equivalent of tuition and room & board at our state school, plus half of the difference between that amount and whatever school they ultimately decide to go to.

Then I would put it into an investment account but label it education in your quicken(or whatever you use). I might put $20k into each child’s 529 first that will go a long way towards your goal.

$20k is not a “long way” towards the goal of a fully funded college education.

OP indicated they already had $60k in 529s. Add in another $60k and that is $120k. That would cover at least one kid today At OP’s stated goal in instate tuition and r&b. They should be able to beat inflation in investments and in today’s dollars double that $120 to $240k in the next 12 years. That would cover two children at instate colleges. I call that a long way.