January 18, 2024

Utah 529 educational Savings Plan gets top rating from Morningstar... for 13th year

"Morningstar released its annual 529 industry report naming Utah’s plan as one of only two plans nationwide to earn the Analyst Rating™ of Gold. The 2023 award marks the 13th consecutive year my529 has earned the investment research firm’s top rating."

What does Utah offer that offer that other programs do not? Answer: "a wide range of investment options, a commitment to keeping fees low, and an account owner-focused 529 experience with convenience and flexibility." https://my529.org/another-morningstar-gold-for-my529/?utm_source=my529+Official+Communications&utm_campaign=e40d748091-EMAIL_CAMPAIGN_2018_04_06_COPY_01&utm_medium=email&utm_term=0_5da23fe960-e40d748091-108905369

In awarding the highest honors to Utah's plan, Morningstar emphasized my529’s https://my529.org/ investment options, specifically the Target Enrollment Date and Customized Age-Based options. Utah's plan is managed by Vanguard which is owned by its investors, not by stock holders and focuses on keeping expenses ultra-low.

My husband and I invested in Utah's 529 early and often (monthly) for our niece and nephews, who live in Maine and New York. One nephew graduated with undergrad and masters' degree from the University of Edinburgh (yes, you can use 529 funds in foreign countries) debt-free. Our niece, a senior at the University of Vermont (a very costly state school), is currently in Tblisi, Georgia studying for her Russian major. She will graduate debt-free due to her 529 funds and scholarships. Her older brother chose not to pursue post-secondary education so we are taking advantage of the new federal law to transfer $7,000 (the Individual Retirement Account maximum contribution for 2024) from his 529 to his Roth IRA. We will continue this for five years to transfer the maximum amount allowed ($35k) and then use the remainder of his account for his sister's post-graduate education. 

Read the other articles about 529 plans in this blog for details.

No comments:

Post a Comment

Financial Planning for Women does not sell, rent, loan, lease or otherwise provide any personal information collected at our site to any third parties.