[Lioba]

I got small amounts of money, just a few hundred bucks for my baby shower.

Over time I’m sure I’ll get some additional cash gifts throughout my child’s formative years.

What can I do with it, where can I invest it that it can grow for him? Possibly 529?

What if he decides to be an electrician and learns on the job? What else is out there?

Is this something I would be investing in my name and gifting?

Or can I invest it in his name so it’s actually his?

[Derek]

There is the 529 roth ira rollover(to the child) that was implemented this year.

The CAP is 35k lifetime; but could and will likely be increased in future years.

Provides a nice buffer for if your child chooses alternative education options, as you had mention.

[Rory]

Open a brokerage custodian account. That’s what we did for our son. You have full control of the acct.

Technically once you put money in, it is theirs. However, the rules are grey with you being able to use the money on them (buying things for them).

nce they turn a certain age, it becomes theirs.

[Shawn]

There is the Roth rollover option. Also if he goes somewhere on a scholarship he can still pull that money out penalty free.

I’m not convinced paying the tax and penalty is a terrible option if all else fails.

[Lori]

We opened a 529 for each of my grandsons through John Hancock/Md prepaid college fund.

We had this for my son and daughter who both went to college in Alabama.

Getting the funds was no problem when they needed.

It can be used for any type of secondary education or training.

If that isn’t needed then it can be rolled over into a Roth IRA for retirement (this is a fairly new rule)

[Author]

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