Reply to 529 Money --Too Much?

Forum Index » Money and Finances

Reply to "529 Money --Too Much?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]The other issue is that not all expenses can be paid by a 529. It is hard to predict an amount that will be too much. Yes, generational planning is okay in theory BUT this could happen, too:

You're the owner and your 7 year old is the beneficiary. He grows up, goes to school and uses 2/3 the money. Your intent is his kids use the remainder for school. You die and he becomes the owner and names his 2 kids as the beneficiaries. One gets a scholarship and the other uses 1/2 of the money. Your son dies and his wife becomes the owner. She names her grandchild from her first marriage as sole beneficiary. Done with passing it on to educate your heirs as a trust would...[/quote]

the horror...[/quote]
Someone's afraid that your overfunding of a 529 might go on to educate your dead son's wife's grandchildren (who could well be your grandchildren)? Yeah, we overfund our kids' accounts and I lose zero sleep over this scenario playing out after I'm dead. Or ever. [/quote]

Great for you but that's not the intent we have with our money. [/quote]

The only way you can prevent this horrible scenario is to forget 529's and trusts, and pay your kids' expenses directly. All remaining money should be spent by you, or buried with you upon your death, to prevent any outsiders from getting their grubby hands on that cash.[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics