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[quote=Anonymous][quote=Anonymous]Early 40s w kids under 5. If we had to, we could cash flow college based on our current salaries. Barring random disaster, if we don’t up our lifestyle, should we feel pretty ok that we could cash flow college in 14 or so years? Don’t expect huge salary growth but prob like 2 to 3 pct per year. PITI should stay same. I know college costs have outpaced inflation but hope they won’t go too much out of control. [/quote]

Yes.

However, if you are currently investing the leftover money in the stock market, who not do that inside the 529 container?  You get a 5.75% state tax deduction on the entire amount (if in VA) and the money grows tax free - benefits you don't get if you are growing the money outside the 529.  If you are ultra conservative, you could also park your cash in a money market fund within the 529.

I thought I was smarter than everyone else and did not focus on the 529 when i was your age.  We are now cashflowing about 50% of the spend, routing the money through the 529 to get the 5.75%, etc. but missed out on the tax sheltered growth of the past decade.  Don't make that same mistake.[/quote]

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