Grandparents upset with 529 college saving plans
Many grandparents like to set up college savings accounts for their grandchildren. Some have used the popular 529 college savings plans without fully understanding some of the possible results. Sadly, funds from these grandparent owned accounts are counted as direct income for the grandchildren and carry a 50 percent penalty against aid whereas parent owned accounts reduce eligibility for need based financial aid by a maximum of 5.64 percent.
If you are a grandparent, you should seek professional advice before setting up college savings plans for grandchildren.
Dandelion Seed Head for making a wish, Kentlands Photowalk, Gaithersburg, Maryland USA IMG 8559
Canon PowerShot G11 Camera
Photograph by Roy Kelley
Roy and Dolores Kelley Photographs
Comments(25)