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[quote=Anonymous][quote=Anonymous]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.  [/quote]

I would probably take the funds and daily cost average it into the three 529 accounts.  My kids are older than yours, but we put bonuses in the 529 for a number of years and college is pretty much paid for.  It’s nice to have that monkey off our backs.

An alternative is to take 1/2 the money and put it in a post tax investment account and the other half in the 529 accounts.

One last thing.  Double check they withheld the right amount of tax money or you will get a nasty surprise next April.  You are likely to go up in your tax bracket as a result.  And it is not uncommon for companies to tax bonuses at 25% which may not be adequate.[/quote]

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