529 plan performance.
What's your 529 plan performance (since inception)? Also which state plan? #529
If your state doesn’t offer tax credit, better to go with very low expense ration plan like Vangurad. They have Nevada plan
I am in NJ, state plan is of NH "NH PORTFOLIO 2033", by Fidelity. Returns are ~8.67
Can u invest in index funds or stocks?
not in stocks, but yes for funds (index funds, brokerage firms managed funds etc.) Go with Age-Based Portfolios
Can someone concisely explain why 529 plan makes sense vs any other generic investment which is not tied to education? I always feel the money is stuck for a fixed purpose. What if education becomes free/online in 15 years? Maybe there wouldn’t be university education or maybe my kids wouldn’t be interested in attending college and learn on their own by other means like coursera or similar. I am genuinely trying to understand the rationale behind choosing 529 plan instead of investing elsewhere. Thank you.
It grows tax free and can be used tax free if right option available at any given point , if not available you can always remove it by paying tax. Plus if in future things change all these plans will adjust accordingly.
Which state plan do you have? I am trying to start one do you have any suggestions. I live in CA