orthopa Posted January 12, 2016 Share Posted January 12, 2016 I have been researching the best way to save/invest for a child outside of a 529 plan. I plan on maxing out a 529 plan for my daughter but would like a way to invest money for her to use for a house downpayment/first car or preferably to just let sit and grow over her life time. I was under the impression that a custodial account or guardian account was a good option but apparently after some research it isn't. http://fairmark.com/custacct/regret1.htm These accounts count more heavily against college financial aid, 4 times as much and the tax break limits are very low. There is also the often unappealing idea of giving a lot of money to an 18 year old and what they will spend it on. It seems just having an account earmarked for a child and gifting either stock or cash from the account over time is the best way to go about this. Has anyone done something similar and have any experience or thoughts? Thanks Link to comment Share on other sites More sharing options...
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