Educational Savings Accounts

[kepp]

Originally Posted by Dunit35

My oldest has $635 in her account. I have never invested any money so it does worry me that I'll lose the money.

It's a long-term investment...you can't react to day-by-day market swings. The funds that we use have a 5 year return of just over 9%. You will lose money on some days, but over the long haul, you'll gain. I think most 529 programs will have age-based/risk-based options.

[Dunit35]

Originally Posted by kepp

It's a long-term investment...you can't react to day-by-day market swings. The funds that we use have a 5 year return of just over 9%. You will lose money on some days, but over the long haul, you'll gain. I think most 529 programs will have age-based/risk-based options.

How do people get them started? Find a good investment company and go that route?

[kepp]

Originally Posted by Dunit35

How do people get them started? Find a good investment company and go that route?

A lot of states "sponsor" 529 programs. I went with Missouri's MOST program. But I'm sure you can open 529 accounts that aren't state sponsored.

https://www.ok4saving.org/

[Amnorix]

Originally Posted by Dunit35

How do people get them started? Find a good investment company and go that route?

Pretty much. Be aware that many 529 plans are "linked" to states, but that you can invest in any state's 529 plan. You don't have to invest in the one in the staet where you live.