{"id":5435,"date":"2022-02-17T16:32:13","date_gmt":"2022-02-17T16:32:14","guid":{"rendered":"https:\/\/www.rbcwealthmanagement.com\/en-us\/?p=5435"},"modified":"2023-10-25T10:58:07","modified_gmt":"2023-10-25T14:58:07","slug":"funding-education","status":"publish","type":"rbcwm_solutions","link":"https:\/\/www.rbcwealthmanagement.com\/en-us\/solutions\/funding-education","title":{"rendered":"Funding education"},"content":{"rendered":"\n

Funding education<\/span><\/h1>Wealth planning and protection<\/span><\/span>
<\/i><\/div>Solutions<\/a><\/span><\/div>
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Looking for ways to support a child\u2019s future success? As costs rise for school tuitions and college degrees, the gift of education is a smart choice.<\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n\n

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You can prepare a strategic funding-education plan with guidance from an RBC Wealth Management financial advisor. Let us help you make a difference.<\/p>\n\n\n\n

You have options\u2014from 529 plans to loans, and from IRAs to custodial accounts like the Uniform Gifts to Minors Act (UGMA) and the Uniform Transfer to Minors Act (UTMA). Rely on our experience to help guide and support your decision.<\/p>\n\n\n\n

At the head of the class: 529 plans<\/h2>\n\n\n\n

Saving for education isn\u2019t limited to college. Use a 529 plan to fund a child\u2019s elementary or secondary school tuition, too. You can withdraw up to $10,000 per year tax-free at the federal level to pay for tuition or room and board.<\/p>\n\n\n\n

Contributions to a 529 plan grow tax deferred. Some states also offer income tax benefits. Other 529 plan benefits include high lifetime contribution limits, tax-free access for qualifying expenses, the ability to change the beneficiary and more.<\/p>\n\n\n\n

Custodial UGMA and UTMA accounts offer flexibility<\/h2>\n\n\n\n

Custodial accounts, which offer potential tax benefits, let parents, grandparents and others transfer and invest money for a minor.<\/p>\n\n\n\n

The child has limited access to the account\u2014to use the money for educational or non-educational expenses\u2014until they reach the age of majority. Once they do, they can take control of the account and use the assets for their college education, to purchase their first home, start a business or begin their own investment and estate planning.<\/p>\n\n\n\n

Education planning considerations<\/h2>\n\n\n\n

We\u2019ll guide you through the details, including:<\/p>\n\n\n\n