When it comes to your hopes for your kids' success, the sky is the limit. Unfortunately, the sky is nearly the limit when it comes to college tuition as well. The past few years we've watched tuition steadily climb and the amount of debt saddled on new grads climb too. You want your kids to have the best possible job in the future, and many times that means the best possible college education as well. However, you don't want your kid to graduate with massive amounts of debt they will be working to pay off through their adult life. Here's where CenterPoint steps in. A carefully crafted financial plan, setting aside money in a 529, can help prepare you for future college expenses.
As with other investments, there are generally fees and expenses associated with participation in a 529 plan. There is also a risk that these plans may lose money or not perform well enough to cover college costs as anticipated. Most states offer their own 529 programs, which may provide advantages and benefits exclusively for their residents. The tax implications can vary significantly from state to state.