Custodial accounts provide a simple way to gift money to a minor child. They enable the donor to retain control of the account until the beneficiary reaches the age of majority (typically 18 or 21, depending on the state). Depending on the state, custodial accounts include structures such as UTMA (“uniform trust for a minor”) and UGMA (“uniform […]
Posts in category 529 Plans
529 plans are college savings plans which provide numerous benefits including tax deferral and in certain cases tax free withdrawal when they are used to fund higher education expenses. Here we provide an overview of 529 plans and discuss some of the details and nuances of setting up and maintaining these plans.
529 plans are savings vehicles for the purpose of funding higher education expenses. They have numerous tax advantages, including tax deferral and tax free withdrawals. The withdrawals are typically tax free as long as they are used to fund qualified higher education expenses such as tuition, board, fees, books and other expenses at an eligible […]