For many parents, the cost of a college education is one of the most daunting financial burdens they will bear, outside of saving for retirement. It is important for them to begin saving as soon as possible. Fortunately, there are many saving vehicles available now that provide incentives to save for college, and the financial planning community is becoming well versed in the alternatives available to clients. That"s not to say that the alternatives are simple to understand.
This article provides several numeric simulations comparing Section 529 plans with other savings vehicles, and will show the impact of the new tax law on the results.
