Thoughts from a mom investing for college

Lincoln Wylie

My 3-section method

  1. Initial, I’m investing in a 529 strategy for the reason that it’s aligned to my unique target: saving for higher education. Moreover it provides generous tax benefits, like deferred cash flow tax on earnings, which provides my cost savings a lot more potential to expand and compound quicker.*
  2. Up coming, I’m trusting my asset allocation. My kids’ higher education cost savings are invested in a combine of stocks and bonds, with the allocation driven by how quite a few yrs we have right up until they graduate from superior faculty. This combine will allow us to benefit from the long-term development stocks have ordinarily furnished while supplying some ballast when the marketplaces get choppy. And I’ve designed issues even easier by picking an age-based portfolio in just my 529 strategy. This portfolio routinely adjusts its allocation to become a lot more conservative as we get nearer to
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