What's the best account to open.....
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What's the best account to open.....
| Thu, 04-13-2006 - 11:49am |
to save some money for the baby for when he gets older. Since I should be getting my state tax refund any day now I want to take advantage of some of the money and open up an account for the baby that will gain interest and by the time he's 18 or 21 he'll have a little nest egg so to speak lol. Something my mom wasnt able to do for us.
I mean its not a whopping amount as the federal refund is always bigger but that went to back bills and such, I gotta start somewhere. What type of accounts do you guys have for your kids?

My kids each have a $50 savings bond that their great-great grandmother gave to them on their 1st birthdays.
Karen ~ wildlucky4me ~
Mom2Maggie is absolutely correct about saving for your own future first. You can start a ROTH IRA with very little money. It is considered retirement savings, BUT you can borrow from it for the purposes of paying tuition for yourself or your children with no penalty.
However, I also agree that it sends a message to your child to save in their name for their future. You need to Google your state 529 plan (for me it would be "NY State 529")to learn about your states college saving plan. It is the BEST way to go. Each state has one. Do not waste your time on savings bonds or accounts at the local bank. You will not accrue any interest to speak of so they are about as useful as a shoebox under the bed.
Susie