PUSH Financial

@girlsthatinvest

How the wealthy send their entire family to school, TAX FREE… They open a 529 account when their first child is born (or before, then make the child the beneficiary once the child has a social security number)… They then contribute $15,000 annually (gift tax limit) to the 529 plan or use the 5-year forward provision where you can contribute $75,000 all at once… When the first child goes to college, trade school, or any other eligible institution, they use the funds to pay for tuition, books, laptops, etc. and the full withdrawal comes out TAX FREE…

Once the first child graduates, the rich transfer the 529 assets TAX FREE to a qualifying family member like a sibling, first cousin, etc. and the process starts over again…

The entire time the assets are growing TAX FREE… Then, when the owner of the 529 plan dies, the assets are passed to a successor owner (a new owner) TAX FREE, and they continue the process… But wait, don’t they have to pay taxes on the assets if they die? Because why 529s assets are not included in their taxable estate, when the owner dies, they don’t have to pay taxes on the assets. This is a unique feature to 529s… Hence why the rich sometimes hoard their wealth in 529 accounts. It takes the money out of their estate.

@getjoemoneyright

@LPinFinance

With top-notch facilities and expert support staff, Tallahassee is the perfect destination to host your next athletic event. In-between competitions, dine at world-class restaurants, take in some live music or explore one of our many local adventures.