How to Choose Between a 529 Plan and Roth IRASo, how do you choose the right account for your specific needs? There are a lot of variables to consider, but here are some general rules of thumb.
If you’re not on track for retirement yet, go with the Roth IRA. Retirement is a more important goal and this way the money will be available for either purpose.
If you’re not sure that you want to use the money for college, go with the Roth IRA. It’s a more flexible account that allows you to use the money for a variety of reasons without penalty.
If you’re not on track for retirement yet, go with the Roth IRA. Retirement is a more important goal and this way the money will be available for either purpose.
If you’re not sure that you want to use the money for college, go with the Roth IRA. It’s a more flexible account that allows you to use the money for a variety of reasons without penalty.
If you’re 100% sure that you want to save this money specifically for higher education, go with the 529 plan. The tax benefits and high contribution limits make it the best option for money that’s dedicated to that purpose.
