UTMA vs 529: What is the Difference and Which One is the Best?

UTMA vs 529: What is the Difference and Which One is the Best?

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[nickdoyle-achievefinancial]

I’ve been contributing to my niece’s and nephew’s 529s. I like the idea of matching their custodial Roth contribution!

[Mind_Mente]

love the idea of having both of them. Especially if the kid has many uncles and aunts---gifts turn into opportunity to fund the accounts

[j.mney]

Love the 529’s. Great way to save for kids future college expenses 👍

[catwesage]

Hey guys. It would be great if ya'll could make a video for newly-minted resident doctors. We struggle with heavy loans, but our attending salaries are pretty disgusting (for some of us). Either way, I graduate in the summer, and this is a rather confusing time for me!

PS. I'm going to be a facial reconstructive surgeon!

[brettbaust]

The issue I see with an UTMA is that the money put in and earned becomes theirs at age 18/21 whether you like it or not. I think just opening up an investment account “in their name” would give you the control to keep, use for their down pmt on a house, car, college help outside of a 529 or gift in the form of matching their Roth deposits when it’s available to them. What am I missing… just the tax piece?

[Josh-fzrh]

I'm not sure if I wanna do a college savings for my kid. What if they don't go to school? UT/GMA gains are taxed. I'm not sure which direction to go.

[osu]

UGMA/UTMA can be rolled to a 529 without consequences.

[cocob]

Love the comment you had about first world problems 😂😬 (weddings, down payment)

[tulio]

Hi there, will the 529 or utma have to reported to fafsa when applying for college ? would it affect your needs ?

[geno]

I do a 529 already. I never heard of an UTMA

[CollectingBS]

Can you move the utma/ugma funds into a custodial roth before they come of age and have earned income? Still FBO the child correct?

[bassplayero]

Hello moneyguys! I have a question regarding life insurance. I now work in the financial industry holding my series 7/66 and believe in term life insurance and disability insurance. However in college I was an intern for northwestern mutual and worked at Mutual of Omaha as my first job out of college. I don’t work there anymore and instead work with investments only instead of life insurance. My question is on the philosophy behind investing in permanent life insurance. I’m talking about the accumulation phase after retirement accounts are being maxed out. Do you believe perm life insurance has any place in someone’s portfolio? Different advisers at these firms believe for individuals earning over 250k can greatly benefit from this rather than dumping it all in a taxable brokerage account. What are your thoughts on this?

[kashdefiant]

What are your thoughts on how UTMAs will affect your child's potential financial aid eligibility?