After years of saving for college in your 529 plan, the day has finally arrived that you need some of that money to start school. You have control of how much money you withdraw from your 529 account and what to spend it on. However, before you feel flush in cash, it’s important to know what is covered as a “qualified” expense.
As of January 2018, parents can now use their 529 plans to pay for private K-12 tuition. Originally designed for college, 529 plans allow tax-free earnings growth and tax-free withdrawals when the funds are used to pay for expenses that meet the requirements. That now includes private school tuition.
When approaching college financial aid for the first time, it can be difficult to navigate. Many parents wonder if their home equity is a factor in the FAFSA (Free Application for Federal Student Aid) and whether it impacts their student’s aid. For the majority of colleges that require the FAFSA, the value of your home and your mortgage payment will not affect your student’s financial aid.
Our CEO, Kim Curtis, spoke with Fox News in Colorado Springs about building wealth while paying off debt. Balancing retirement savings and debt repayment can be a challenging part of financial planning. With her financial planning advice, you can begin your journey to creating wealth in a manageable way.
The main takeaways? Understand your debt, set SMART goals, create a spending plan and pay yourself first. If you can master these key areas, you'll be on your way to having a healthy financial plan.
The open Medicare enrollment period begins on October 15th. This is the time to review your medicare coverage and see if you need to make any adjustments. Open enrollment runs through December 7th and any changes made are effective as of January 1, 2017. You can do the following during open enrollment: