Madison MoneySports - Personal Finance Thread

[D_Eclipse9916]

Residency is not a requirement.

I didn't like return options I saw in 529, but I'll admit I didn't look too hard because we're talking about a new house and/or moving overseas in the next few years. I didn't want to tie up too much cash.

If I'm honest, I actually think a lot of tuition is going to be paid by home equity from us selling after he goes off to college. I'll be 57 when he finishes high school and would like to sell a buncha crap, retire, and do a bunch of traveling with the wife.

But, yeah, 529 is likely what you want.

That's fair, if you are good about paying down home equity; its not a horrible return between home price increase and reducing interest on a cost.

Jon,  Apoc hit it but yes residency is not a requirement.  You can choose any 529 Plan (I thin last time I looked Vegas/Virginia/New York had the best overall returns).  However, some states have tax advantages to using their state plan.  I did a quick check and MD let's you deduct $2,500 per person.  Do a quick analysis and review Maryland's plan and calculate in your own cost of saving the $2500 in taxes to see if it's worth doing MD vs others.