Planning for college....Where to Begin???
529 Plans..so many
So My baby is only 7 months old but I've already started thinking about how expensive college is going to be when it is time for him to go. I have started saving for him, which is the obvious first thing to do. I have a savings account for him that I transfer a little bit of money into each week.
But I knew there was other ways of saving, soooo I started researching 529 Plans. Wow is this confusing!!!
So by definition A 529 plan is a tax-advantaged investment that to encourages saving for the college expenses of your child.
Now came the hard part..which company do I choose to go with. Well, I began researching my State's plan, which is not that good by the way. But as I found through my research you can actually join the 529 plan of any state without any problem. The program I chose is administered by the State of Maine.
I am also in no way endorsing them but I did open my 529 plan with Merrill Lynch. With ML I chose to invest my money in an age based portfolio. From what I understand this portfolio is an aggressive investment until my child turns 7, they then change the investments into more moderate or conservative ones. (Please anyone correct me if I am wrong). I am new at all of this.
So I haven't put in too much money into it but I do see where my money is going and that is very interesting.
Check out my Blog-- www.smartypantsmoms.blogspot.com
Some Books on Saving for College
- Amazon.com: 529 college savings plan
Amazon.com: 529 college savings plan