05/27/2026
Saving for education can involve more than just preparing for college expenses — it may also create long-term planning opportunities for the next generation.
💡 Advisor Insight from Elliot:
“529 plans have become a more attractive planning tool in recent years. In addition to helping families save for future education expenses, recent rule changes allow unused 529 funds to potentially be rolled over to a Roth IRA for the beneficiary, subject to certain requirements and limits. This added flexibility can help families feel more comfortable saving for education, knowing that unused funds may still benefit the child later by giving them a head start on retirement savings. One important item to keep in mind is financial aid treatment. Custodial accounts, such as UGMA/UTMA accounts, are generally considered the child’s asset, which may have a greater impact on FAFSA eligibility compared to a parent-owned 529 plan.
Overall, each option can play a role, but the right account often depends on the family’s goals, expected education needs, tax situation, and desire for flexibility.”
📞 Have questions about education planning strategies? Our team is happy to help you explore your options.
