Stocks

[teetle]

I'v used tradenet.com, they are connected to colmex, both are designed for day trading, like you get 20 times leverage with no interest on any colmex accont, both are very good services.

[Sport]

What do you guys think about 529 funds?

[gubevo18]

What do you guys think about 529 funds?

it can be beneficial but it can also hurt your child's financial aid eligibility. At times even If your income will allow for you to receive financial aid the 529 plan can be held "against" him. Also, (this I didn't really clarify too well) there is something about going to school in the state you set up the fund. If not it might not be as helpful.
Basically , it's not simple. You Gota figure out based on your situation.

[ExGingi]

What do you guys think about 529 funds?

I never liked them.

The only place where I saw a real benefit was with grandparents trying to enhance gifting for estate planning, as they allow gifting 5 years of annual exclusions in advance.

If the goal is education savings, first maximize Coverdell accounts (which have much greater flexibility, but much lower maximums. Roth IRAS, and possibly other methods.

[ckmk47]

What do you guys think about 529 funds?

it can be beneficial but it can also hurt your child's financial aid eligibility.

On Forbes.com there's an article explaining different circumstances.
"In general, on the FAFSA form, a 529 plan owed by the custodial parent(s) typically counts as an investment and it may reduce need-based aid by a maximum of 5.64% of the asset’s value."

[Sport]

I never liked them.

The only place where I saw a real benefit was with grandparents trying to enhance gifting for estate planning, as they allow gifting 5 years of annual exclusions in advance.

If the goal is education savings, first maximize Coverdell accounts (which have much greater flexibility, but much lower maximums. Roth IRAS, and possibly other methods.

Thanks, I'll look into coverdell accounts.
How would a roth ira be benificail ? I wont be able to withdraw penalty free until retirement

[Sport]

it can be beneficial but it can also hurt your child's financial aid eligibility. At times even If your income will allow for you to receive financial aid the 529 plan can be held "against" him. Also, (this I didn't really clarify too well) there is something about going to school in the state you set up the fund. If not it might not be as helpful.
Basically , it's not simple. You Gota figure out based on your situation.

On Forbes.com there's an article explaining different circumstances.
"In general, on the FAFSA form, a 529 plan owed by the custodial parent(s) typically counts as an investment and it may reduce need-based aid by a maximum of 5.64% of the asset’s value."

So is the consensus that I risk hurting my kids' potential for financial aid ?
Who knows what will be with the eligibility requirements in 15-25 years ?

[ckmk47]

                                           Coverdel                           vs                           529
max contribution annually     $ 2000                            $5000 individual/ $10000 couple
max income of contributor      $110K / $220K couple                                 No max
school                     higher education, high school or elementary      only higher education
student age limit                      30                                                            no limit
investments                         any brokerage-type                     specific state run programs


In either program the money can be moved to a different beneficiary that is related to the first fairly easily.

[ExGingi]

Thanks, I'll look into coverdell accounts.
How would a roth ira be benificail ? I wont be able to withdraw penalty free until retirement

ROTH IRA principal can be withdrawn anytime as long as account has been open 5 years or more. Gains can be withdrawn penalty free for higher education even before 59 1/2.

See for example the following article: http://www.cnbc.com/2014/02/03/roth-iras-can-be-a-better-way-to-save-pay-for-higher-education-costs.html

[ExGingi]

                                           Coverdel                           vs                           529
max contribution annually     $ 2000                                                      $5000 individual/ $10000 couple
max income of contributor      $110K / $220K couple                                 No max
school                              higher education, high school or elementary       only higher education
student age limit                      30                                                            no limit
investments                           any brokerage-type                                     specific state run programs

IINM that figure is wrong for 529. It is only limited by annual exclusion gifting limits, but as I said one can pre-gift 5 years worth in one shot.

[David Smith]

Anyone here does day trading? if yes....can he suggest how to get started? (i.e. software? brokerage?)
i know it's a (very) risky business to get into. However, just checking the waters to see if anyone out there might be successful...
Thanks

Don't test the waters with any money you can't afford to 100% lose. Read, read, read, practice on a simulator account, then move on to practicing with small amounts while continuing to practice with the simulator and reading, then as you get more experienced move onto larger trades, while continuing not to trade with money you can't afford to lose.

[pixi]

I'v used tradenet.com, they are connected to colmex, both are designed for day trading, like you get 20 times leverage with no interest on any colmex accont, both are very good services.

How did you like mayor Barak?  He's a super trader.

[Sport]

I never liked them.

The only place where I saw a real benefit was with grandparents trying to enhance gifting for estate planning, as they allow gifting 5 years of annual exclusions in advance.

If the goal is education savings, first maximize Coverdell accounts (which have much greater flexibility, but much lower maximums. Roth IRAS, and possibly other methods.

What advantages do you see Coverdell having over 529, they are not tax deferred and:
  "The ESA is on equal footing with the 529 plan when applying for federal financial aid. The account is considered an asset of the account custodian, typically the parent.            Withdrawals are not reported as student or parent income as long as it is tax-free for federal income taxes."

[ExGingi]

What advantages do you see Coverdell having over 529, they are not tax deferred and:
  "The ESA is on equal footing with the 529 plan when applying for federal financial aid. The account is considered an asset of the account custodian, typically the parent.            Withdrawals are not reported as student or parent income as long as it is tax-free for federal income taxes."

Coverdell is not only for college. They're also available for any other tuition or education related expense.

[Sport]

Coverdell is not only for college. They're also available for any other tuition or education related expense.

Right, other than that do you see any advantages ?  I'm looking for college/ seminary savings.

[teetle]

How did you like mayor Barak?  He's a super trader.

he knows whats hes doing though hes not as glorious at he seems, i.e. Isreali.
Was in his trading room for 6 months and 70% of the people are profitable.

[pixi]

he knows whats hes doing though hes not as glorious at he seems, i.e. Isreali.
Was in his trading room for 6 months and 70% of the people are profitable.

I love his YouTube videos..  He trades like a robot... 

[ckmk47]

Right, other than that do you see any advantages ?  I'm looking for college/ seminary savings.

Benefits of a 529 plan (that may be available in other types also):
-For people with higher income, the contributions to these accounts are state income tax free up to $5000/person- $10,000/couple.
-The beneficiary can be changed easily and quickly. (to a relative)
-The earnings are tax free.
-Can be used for any higher education expense not just tuition. (books, dorm (not outside apt)

[aj26]

Don't the investments in 529 plans need to be in the garbage mutual funds your state allows?

[ExGingi]

Benefits of a 529 plan (that may be available in other types also):
-For people with higher income, the contributions to these accounts are state income tax free up to $5000/person- $10,000/couple.
-The beneficiary can be changed easily and quickly. (to a relative)
-The earnings are tax free.
-Can be used for any higher education expense not just tuition. (books, dorm (not outside apt)

That is true for NY residents contributing to the NY 529 Direct Plan.

Other states might have different rules. And the tax incentive is usually only if investing in the plan sponsored by the state of residence. (So in the NY example, for a married couple it would be the state tax rate on up to $10,000 for a married couple).

I haven't looked at 529 plans for quite a few years, but when I did, I found them of limited attractiveness IMHO.