25 Ways We Help Clients Build Better Relationships with Their Money
24.) For people with college-bound children, we help to develop savings plans for college prior to high school graduation.
Arrivity financial planners regularly compare and contrast 529 plans to see which is better for a client by looking at: the investment options; the underlying investments contained within those options; the account maintenance fees; the program management fees; the expense ratios on the investments; the total assets-based expense ratios; and ease of use from a user interface and client perspective.
We discuss what our clients’ goals are regarding saving for their children, grandchildren, nieces, nephews or friends’ college education. Whether it’s 4 years at public or private university, an associate or master’s degree, trade school or an apprenticeship – we can help you plan for education expenses. We can use our software to model and create projections to determine how much money needs to be invested in a lump-sum form, or on a yearly basis, to reach your goals by a specific target date or year.
It is also important to stay apprised of changes in rules and regulations of how 529 plans work and how funds within them can be used. For example, in the SECURE 2.0 Act, starting in 2024 you can now roll unused 529 assets (up to a lifetime limit of $35,000, as of 2025) into a Roth IRA for the beneficiary. There are specific rules around how this works and how much you can “roll over” each year but just knowing that this is possible and an option for overfunded 529 plans can provide peace of mind for parents, friends or families who are trying to decide how much money to put into 529 accounts.
Please contact us at: Contact Arrivity or 206.217.2583 or info@arrivity.com if we can assist you or someone you know with financial planning.
Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that the statements, opinions or forecasts provided herein will prove to be correct. Past performance may not be indicative of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. Securities investing involves risk, including the potential for loss of principal. There is no assurance that any investment plan or strategy will be successful.