Reply to How many here do not have a 529 savings account, on purpose?

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Reply to "How many here do not have a 529 savings account, on purpose?"

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[quote=Anonymous][quote=Anonymous]The issue is whether the risk in higher-return investments is worth it vs tax-free growth in safer investments. The risk of losing too much can be tempered by a situation where the family can also cash-flow college costs if necessary. That is, the decision to have a 529 will depend on individual financial situations and risk tolerance.

We have fully funded 529s that will pay at least 4 years and probably grad school as well for all of our kids. We are retired and could also pay from other funds, but set up the 529s long before we were in our current financial position.

I see no reason we wouldn't do it again. Having finally set up an estate plan (after losing a child, which really brought the importance into focus), it is reassuring to have the 529s in place should something happen to us, just more straightforward than the administration of the rest of the estate under a trust.[/quote]

Put it into SP500 stock funds in the 529 and let it ride.  Sure you "could do better with stock picks" but you could also do much worse and loose money.  Vast majority of people will do best with a 529 as long as it's invested in stock funds and not just the "target funds" which go less risk way too soon for most people.  Once you include the tax benefits, most people will do best in 529.  And if you have the $$$ to over fund, just leave it there for grad school or your grand kids education.  Not a worry
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