Education Planning
Everyone’s life is influenced by their education. However, obtaining an education frequently results in significant debt. And they will work for the rest of their lives to repay this loan. It doesn’t have to be that way. Planning ahead for your children’s future can help them avoid being debt-ridden as adults. With Emerald City Fiduciary Group, you can develop an efficient education plan to get your kids through college without worrying about the costs.
How Do I Invest?
It is always better to have a different financial plan for education purposes. Investing it in various stocks, funds, and other savings plans can take the burden off of you. There are multiple factors to consider while investing in education plans.
Start Early
As for any financial plan, it is always wise to plan early rather than wait for the right time. The earlier you start investing, the longer your assets will grow.
Be Disciplined
When it comes to money, the more disciplined you are, the better. Never spend more than you earn, and increase your investment as you save.
Consider Multiple Funding Options
Always invest in multiple funding options than putting all your eggs in the same basket. This can reduce the risk involved and increase the return on your investment.
Be well-rounded.
Our Services
Funding Options
With many funding options to choose from, it can get confusing. Emerald City Fiduciary Group can help you pick the best that fits your financial situation and goal.
529 Savings Plans
Saving plan trusts can cover the educational expenses of a child from kindergarten through graduate school. In this plan, the participant can contribute whatever amount they choose towards eligible school expenses for a specified beneficiary.
Coverdell ESA or Educational IRA
Coverdell ESA allows you to contribute $2000 per year towards the education of your dependent child. Though these contributions are not tax-deductible, they may grow faster than assets in regular accounts.
UGMA
The Uniform Gifts to Minors Act enables individuals to transfer assets to their children who are minors. The benefit of UGMA is that it is free of gift tax but only up to a certain amount. Beyond that, a special ‘kiddie’ tax rate would apply.