A tax-advantaged savings plan designed to encourage saving for future education costs.Benefits: Tax-free growth, tax-free withdrawals for qualified education expenses, and potential state tax benefits.
Accounts that allow adults to transfer assets to minors.Benefits: Flexibility in investment options and the ability to use funds for any purpose benefiting the child.
A retirement account that can also be used for education expenses.Benefits: Tax-free growth, tax-free withdrawals for education expenses, and contributions can be withdrawn at any time without penalty.
A government-backed savings scheme for the girl child in India.Benefits: High-interest rate, tax benefits, and maturity benefits.
Education Savings Account (ESA)
A tax-advantaged account specifically for saving for education expenses.Benefits: Tax-free growth and withdrawals for qualified education expenses, flexibility in investment choices
Pooling money with other investors to buy a diversified portfolio of stocks and bonds.Benefits: Potential for high returns, diversification, and professional management.