529 plan grandchildren

coffee2022
Thu, 16 Dec 2021 21:44:42 +0000

You do not have to invest in a state plan. You can set up a 529 through an investment firm like Fidelity, T Rowe Price, Wells Fargo Investors, etc.

You can contribute to the parents’ 529 and still get the tax benefits. However, you are losing control over the money. If you set up your own 529 for the grandkids, you retain control. So, if you are worried at all that the parents may take the money out of the 529 or not otherwise use it on the grandchild’s college expenses, then it’s best to set up your own 529.