I really want to start a college fund for my two little ones. I would only be able to put in about $20 a month for both, but that should add up over the years and the amount we put in each month will increase over time. I would like to have it automatically taken out of our checks so that we won't ever "miss" that money and fall behind.
Does anyone know any good resources on reading up on the best way to do this?
I have a 529. $50 is automatically drafted once a month from my account.
Melissa
Our financial advisor set us up with one for both kids. My oldest son uses Tomorrow's Scholar and my youngest boy uses MFS. We had the automatic deductions set up through him for a while. It's also nice to add to it when we can like with our income taxes or a bonus, we'll add a little extra. The grandparents also love to give us money for it at their birthdays and Christmas. One thing to make sure of when choosing one is what it can be used for. I remember when the advisor was showing us options, some funds had to be used for state schools only, and some for tuition only. We wanted to use one that could be used for any school (public or private) anywhere and that could be used for all education expenses, even room and board or books. I don't remember the details of it all, but there were also tax considerations. Some plans tax the money when you pull it out and others don't, so make sure you check that. I don't remember all the stipulations (this is why we have an advisor :).