COLLEGE SAVINGS

college savings - investing in the next generation

we help families grow their children’s savings through both 529 plans and UTMA accounts —balancing tax benefits with flexibility. whether you're planning for tuition, supplies, or other child-related needs, we’ll guide you in choosing the right mix for your goals.

smart savings

we use both 529 College Savings Plans and Custody (UTMA) Accounts, giving you flexibility to help grow your kids’ savings, while enjoying tax benefits.

529 plans

anybody can open a 529 account. as an account owner, you have the flexibility to assign a beneficiary, pick investments, and be in control of how the money should be used. earnings are tax-deferred; withdrawals for tuition, housing, and supplies are exempt from tax (tax-free).

UTMA accounts

being easier to set up than formal trusts, the UTMA has less withdrawal restrictions and broader spending flexibility. custodians can use the funds for any child-related expenses, while benefiting from low tax rates and a range of investment options.

case example

one of our clients – a former student of jay’s from University of Illinois at Chicago – was the first in his family to graduate from college. he got a job, married his girlfriend and had a daughter. early on, they started a college fund (529 college savings plan), contributing $200 a month. by the time she turned 18 and enrolled in a five-year criminal justice program, the account had grown enough to fully cover her education, with $30,000 leftover. jay suggested that the remaining funds be rolled over to her newly created Roth IRA account. she is now thriving in the police department, mentored by seasoned public safety officials.