Re: Long term investment plan for my kid\'s future?
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best to have some kind of revocable plan. you never know when you may want to change your mind about her having the money in the future or where it goes. plus laws change regarding trusts and trust type plans.
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That is a good point, but that is actually a strength of the 529 plans as opposed to the old UGMA/UTMA arrangements people used to use to save for their kids. You own the account in a 529 and the funds are not tied to any one person. If you choose to withdraw them for something other than college you pay taxes and a 10% penalty on the earnings. The catch here is that you also benefitted from the years of tax deferral on the earnings, so even paying the penalty isn't that much of a bite.
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