Grow Your Savings for College with a 529 Plan or Prepaid Tuition

bussiness management of an enterprise

what is the cost for students from africa?

@bernard Zweig

A more productive comment might have directed readers to www.savingforcollege.com, which is not affiliated with any sales organization like the New York Life link you included. There you can actually compare 529 plans.

The site www.collegesavings.org is managed by the College Savings Plan Network, a consortium of 529 sponsors and providers not dissimilar to the mutual fund marketplace's ICI. It is also a valuable resource for comparing 529s without a sales pitch.

Downsides of 529 Savings Plans

There are some important downsides which you failed to mention. Withdrawals are reduced by education tax credits, scholarships, grants, ans Stafford loans, which can cause the 529 withdrawal to be taxable.

Also, since many of these plans are allocated toward a more conservative allocation as the student gets closer to college, will the parent be withdrawing money at a loss?

I feel it is the worst short term investment for HS families since the likelihood of recovering the fees and expenses of your plan before the first withdrawal will not happen.

There are better options to the 529 Savings plans.

529andmore

I'm sure that your readers would like to know that a popular website

www.529andmore.com is a resource for information on 529 plans. The site

also provides an approach for funding higher education utilizing a unique patent-pending life insurance

policy from which the funding to pay for college can come while the insured is alive.