Reply to New Parents Wisely Start College Fund That Will Pay For 12 Weeks Of Education

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]15:26, you'd be surprised what 18 years of compound interest could do to that $5K if you take it out from under your mattress.[/quote]
Ha! With interest rates for savings accounts at 1% or less, after 18 years 5,000 dollars compounded annually wouldn't even earn 1,000 dollars in interest so you wouldn't even have 6,000 dollars. [/quote]

I'm the OP, and I didn't write the above. Anyhow, we opened a 529 about a year ago partially because we live in VA (tax benefits) and because along with the Utah plans, it was recommended performance wise. But the return was only around 6% during the 12 months. Sure it's better than a savings account, but S&P500 did so much better. But oh well, we're in it for the long haul and 529s have benefits at time of withdrawal, so we'll keep on putting it here.  [/quote]

Can you roll it over into Utah's plan? I do this with MD's plan.[/quote]

Change the investment choice. They have many (18) choices - blended, life cycle, or pure stock index (VTIAX - which returned 33% in 2013). See which fund or allocation fits your time line and risk profile and select accordingly.[/quote]

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