Hi Travis I’m from California and I am looking at NY, OH, and Utah for comparison. I am getting a 529 for a grandchild who is only 7 months old. So the 529 I want will be a long term (18 years). Which 529 plan should I choose? I am looking at both performance and time TY!
HI Travis our daughter is in her freshman year at a private school. We've saved for the last 18yrs in Pennsylvania which has an allowable reciprocating 3.07% deduction for up to $15,000 annual contribution. We continue to save to PA TAP529 GSP and I can look up the expenses and rate of return for Pennsylvania plan but we think we should stop contributing by the beginning of her junior year so the $ is eligible for withdrawal. I'm having a hard time figuring out if we should transfer the $ to another states plan and invest in the other states plan
Hi Travis. I took the information you gave in this video and tried to apply it to the 2 different options offered by Utah and Ohio . I found the fees. I’m just having trouble figuring out the performance. I was looking for a chart that would show the performance over 5 years, so that I could compare consistency but I am only able to find the graph that shows 1 year. Is the 5 yr average annualized return what I should be comparing, I’m afraid that it’s not taking into account fluctuations. Tyia 🙂🙂
Thanks for the info. I am in CA where there is no state tax incentive. I am looking at NY or OH. Our twins are 2 so we would be putting in money for the next 16 years. Which one is best?
529 plans are state sponsored -- so from a state tax deduction standpoint, it depends on which state you live in and which plan they use. I don't know which state Chase uses to run their plan through. It's likely that you would be better off with another plan -- but that's without knowing the exact details. Almost every brokerage firm or bank that I've seen "sell" a 529 plan is more expensive with poor choices. That being said, half the battle is just saving and unless there was a bigger benefit to move then just keep doing what you're doing.
I want to get the best 529 savings plan for my Grandchildren. We live in Tx with no state income tax. One child will start college in 2024, one in 7yrs and one in 8 yrs. I want their parents to oversee the accounts. Thanks for any help, Jo Taylor
@@TravisSickle I think he wants you to advise him to look at the 5-year or 10-year performance for the plan he selects to inform his choice. He also needs to know that as the world changes the performance of funds changes. Most brokerage firms offer target termination accounts which change their risk factor the closer you get to the year you need to cash in the account. I think I would advise him as I suggested but I am just a self-taught investor and not a trained financial advisor. If he lives in a high-tax state like Maryland he should definitely set up an account but the max tax deduction is only $2,500/year. That said he should just do the max each year. I believe he can actually partition the payout to several different kids depending on the financial assistance each gets since the 529 does not factor into their financial need application. So if one child gets a scholarship and another has to pay the full cost you can allocate more to the child who must pay the full ride. The video was well done and it does trigger the kind of questions every responsible parent should ask. To be fair, the government should reevaluate the true cost of raising a child and make suitable adjustments for the middle class who pay all their bills on time and don't get income-qualified deductions. I worked three jobs to make sure my kids would not graduate with debt. As a result, I was not allowed to deduct $2,500 per student in college costs as that was income-qualified and I live in a high tax state. True, we may make more money but our property taxes are sky-high and the costs for basics like food and transportation and even programming for the kids eat up all of that income. I am not a believer in debt as my father survived the Great Depression and to his credit taught me how to sacrifice and forgo material pleasures to protect my family. I would love to see the world actually reward my approach but our economy is predicated and dependent upon people buying nonessential things on credit. The reward you get from doing difficult things is basically affirmation. Remember the words of JFK when he empowered a generation to reach beyond what we thought was possible when he said in " We endeavor to go to the moon and return not because it is easy, but because it is hard." Kennedy knew we cannot besow affirmation on people with a magic wand, it comes as a result of us attempting something we perceive as difficult. What I would give to have a politician stir us to once again aspire to go beyond what we see as possible. Maybe Pete will distinguish himself as Sectary of Transportation and build a following. We need a young man who knows how to deal with discrimination and to navigate a following to the most elusive middle ground. Again, thanks for posting this informative and thought-provoking video. You must view the comments as affirming.
Hey Travis, I live in Texas but I am not interested in my state's plan. May I get some help comparing between Illinois (BrightStart), Nevada (Vanguard 529), and Ohio (CollegeAdvantage)? I have chosen these three because of their relatively low costs and historical performance. I am not planning on an age based portfolio, and instead will opt for the most aggressive/Growth Index option offered by each state. I plan to save for about 10 years.
@@TravisSickle Ohio - Ready-Made Age Based: Vanguard Aggressive Age-Based Portfolio (age 4) New York: Aggressive age-based (age 4) We are very much the set it and forget type. Also, would we be better off choosing an Vanguard Index fund instead? Thanks!
This was a very helpful video. Very insightful. Thank you!
Great video’s. I live in Florida looking for best performing 529 savings plan for 3 year old can you suggest any?
Thank you so much! I have been looking for this kind of information for a while.
Any chance you'd share out that spreadsheet?
Nerd out on this, love it!
NY vs Ohio vs Nevada vs Utah vs Illinois - like to see a comparison between these
Yes which is best return low cost 529 plan in 2023 I got 17 years to go
Hi Travis I’m from California and I am looking at NY, OH, and Utah for comparison. I am getting a 529 for a grandchild who is only 7 months old. So the 529 I want will be a long term (18 years). Which 529 plan should I choose? I am looking at both performance and time TY!
any one of those plans are good. don't over think it.
HI Travis our daughter is in her freshman year at a private school. We've saved for the last 18yrs in Pennsylvania which has an allowable reciprocating 3.07% deduction for up to $15,000 annual contribution. We continue to save to PA TAP529 GSP and I can look up the expenses and rate of return for Pennsylvania plan but we think we should stop contributing by the beginning of her junior year so the $ is eligible for withdrawal. I'm having a hard time figuring out if we should transfer the $ to another states plan and invest in the other states plan
Hello. How can I compare performance of 2 different options, including volatility? Should I just be looking at the 5 year average ?
Hi Travis. I took the information you gave in this video and tried to apply it to the 2 different options offered by Utah and Ohio .
I found the fees. I’m just having trouble figuring out the performance. I was looking for a chart that would show the performance over 5 years, so that I could compare consistency but I am only able to find the graph that shows 1 year. Is the 5 yr average annualized return what I should be comparing, I’m afraid that it’s not taking into account fluctuations.
Tyia 🙂🙂
Thanks for the info. I am in CA where there is no state tax incentive. I am looking at NY or OH. Our twins are 2 so we would be putting in money for the next 16 years. Which one is best?
Have you figured out which one to go with?
Do you recommend a 529 plan for someone who has saved up for college and it's going back to school in a year or so at age 30?
Thank you! I currently have it with chase. Would you suggest moving from jp morgan to a state plan?
529 plans are state sponsored -- so from a state tax deduction standpoint, it depends on which state you live in and which plan they use. I don't know which state Chase uses to run their plan through. It's likely that you would be better off with another plan -- but that's without knowing the exact details. Almost every brokerage firm or bank that I've seen "sell" a 529 plan is more expensive with poor choices. That being said, half the battle is just saving and unless there was a bigger benefit to move then just keep doing what you're doing.
I want to get the best 529 savings plan for my Grandchildren. We live in Tx with no state income tax. One child will start college in 2024, one in 7yrs and one in 8 yrs. I want their parents to oversee the accounts.
Thanks for any help,
Jo Taylor
Plenty of options. Utah and NY are good. I use Utah for my kids. A coverdell has the most flexible investment options.
How do you also find the end balance taking in account of the rate of return? What is the math behind?
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Thinking of Louisiana
Excellent!!
This is why I have such a hard time when choose a plan. To many variables to look at. There are so many too. Can you review my states (SC) 529 plan.
Sassafras Farms I agree, it’s not simple. I’ll see if I can check it out
Won't the $500 tax savings apply every year? 🤔
No, only the year of contribution. Now if you contributed more every year yes. The math is the same.
If the years in plan is 18, why the fee will not be $10,000*0.17%*18 = $306 but it is $697.32?
Very simple....just do a video what state is best that you live in that state and the best plan if you don’t live in that state.....
Interesting information. But the Rate of Return is always in flux. How are you suppose to decide with that as a variable in the calculation?
Decide what?
@@TravisSickle I think he wants you to advise him to look at the 5-year or 10-year performance for the plan he selects to inform his choice. He also needs to know that as the world changes the performance of funds changes. Most brokerage firms offer target termination accounts which change their risk factor the closer you get to the year you need to cash in the account. I think I would advise him as I suggested but I am just a self-taught investor and not a trained financial advisor. If he lives in a high-tax state like Maryland he should definitely set up an account but the max tax deduction is only $2,500/year. That said he should just do the max each year. I believe he can actually partition the payout to several different kids depending on the financial assistance each gets since the 529 does not factor into their financial need application. So if one child gets a scholarship and another has to pay the full cost you can allocate more to the child who must pay the full ride.
The video was well done and it does trigger the kind of questions every responsible parent should ask. To be fair, the government should reevaluate the true cost of raising a child and make suitable adjustments for the middle class who pay all their bills on time and don't get income-qualified deductions. I worked three jobs to make sure my kids would not graduate with debt. As a result, I was not allowed to deduct $2,500 per student in college costs as that was income-qualified and I live in a high tax state. True, we may make more money but our property taxes are sky-high and the costs for basics like food and transportation and even programming for the kids eat up all of that income.
I am not a believer in debt as my father survived the Great Depression and to his credit taught me how to sacrifice and forgo material pleasures to protect my family. I would love to see the world actually reward my approach but our economy is predicated and dependent upon people buying nonessential things on credit. The reward you get from doing difficult things is basically affirmation. Remember the words of JFK when he empowered a generation to reach beyond what we thought was possible when he said in " We endeavor to go to the moon and return not because it is easy, but because it is hard." Kennedy knew we cannot besow affirmation on people with a magic wand, it comes as a result of us attempting something we perceive as difficult. What I would give to have a politician stir us to once again aspire to go beyond what we see as possible. Maybe Pete will distinguish himself as Sectary of Transportation and build a following. We need a young man who knows how to deal with discrimination and to navigate a following to the most elusive middle ground.
Again, thanks for posting this informative and thought-provoking video. You must view the comments as affirming.
Hey Travis, I live in Texas but I am not interested in my state's plan. May I get some help comparing between Illinois (BrightStart), Nevada (Vanguard 529), and Ohio (CollegeAdvantage)? I have chosen these three because of their relatively low costs and historical performance. I am not planning on an age based portfolio, and instead will opt for the most aggressive/Growth Index option offered by each state. I plan to save for about 10 years.
Hi. Can u please inform me which one did u end up chosing? And what plan ?
Yes, i live in Texas too and I am interested on what plan you ended up choosing
Is vanguard 529 agood option?
I live in Texas too
Have kids 13, 10, 7
It’s fine, it matters more which funds you choose. Vanguard is in lots of 529 plans.
Hi Roshan! Can you please let know which college plan you ended up choosing?
If the plan is 18 year, why the fee is not 10,000*0.17%*18 = 306 but it is actually 697.32?
join the chat, sent link in last comment.
New York vs Ohio over 13-15 years
Funds that you want me to compare?
@@TravisSickle
Ohio - Ready-Made Age Based: Vanguard Aggressive Age-Based Portfolio (age 4)
New York: Aggressive age-based (age 4)
We are very much the set it and forget type. Also, would we be better off choosing an Vanguard Index fund instead?
Thanks!