- Jessie Jimenez
While our budgeting experiments are going at Cashtoons, we decided to dedicate this first post in September to that end-of-summer season of anticipation, excitement, and maybe a little nervousness: Back to School!
This post is for all the parents out there. Consider opening a 529 account for your kids if you haven't yet.
You can open an account with $25.
Even a few hundred dollars in a 529 account can make it 3 times more likely that a kid will go to college, and make them over 4 times more likely to graduate.
College is not for everyone. 529 money can be used for a wide range of continuing education: vocational schools, culinary schools, cosmetology schools, golf academies, dance or ballet schools, etc.
If your child gets a scholarship, you can withdraw that amount of money from the 529 account without paying a penalty. (You will have to pay taxes on it.)
It takes less than 10 minutes to set up the account.