A new study found that more than half of parents surveyed are saving for their child’s education. A specific savings plan like a 529 can help pay tuition fees as well as room and board, school supplies, and books. 520 plans are applicable for community college and trade schools, not just traditional four year universities.
But what if your child doesn’t end up going to college, or gets a full scholarship to the school of their choice? With a 529 plan, there is a 10% penalty for using for non-educational purposes.
There are several other account types that can help pay for education. The experts at Finley Alexander Wealth Management have a college funding scorecard on the website to help you decide which type is best for you and your family’s needs.
Learn more and download the scorecard here.