Thank you for your suggestion. I will give preference to our taxable retirement account, not all the cash (excluding emergency funds) is invested at this time. I will keep most of the funds in I-bonds/T-Bills for immediate college needs.Since California doesn't have a state incentive for 529 contributions, and since you timeline is short, there are very minimal benefits to 529 contributions for you for the older child, at least. Any college savings for the older child should be invested in safe assets at this point anyway. It is more arguable for the younger child who still has a 10- investing horizon for college savings.
529 contribution benefits should usually be weighed against taxable savings for potential college costs once retirement needs are met, which usually means having maxed out tax advantaged retirement accounts for most people here. For you personally, it seems likely that you should be focused on your own retirement at this point given the relatively small size of your total investment portfolio...this is the investing equivalent of putting on your own oxygen mask first before worrying about others.
Statistics: Posted by rio2005 — Sun Sep 29, 2024 7:03 pm — Replies 6 — Views 285