December 29, 2009
I have a 2 year old and a 9 month old. They obviously can’t work how do i start a retirement plan for them?
scout2ruger asked:
I know the IRS says you have to have earned income but what if they do not is there another way to set them up with a Roth?
To those that have already responded I have set up 529 plans for both kids…I was basically wondering is my best option to buy stocks under my account or is there another way…would like to see 60 years of compounded intrest for the little guys?
Mauricio
I know the IRS says you have to have earned income but what if they do not is there another way to set them up with a Roth?
To those that have already responded I have set up 529 plans for both kids…I was basically wondering is my best option to buy stocks under my account or is there another way…would like to see 60 years of compounded intrest for the little guys?
Mauricio
Comments on I have a 2 year old and a 9 month old. They obviously can’t work how do i start a retirement plan for them?
Dahlia
no but you can set up an education account that may be more needed down the road. They will have lots of time to set up retirement accounts when they grow up
Brad
I would highly recommend you looking at the following books, especially the first one, it talks about how to help your kids and save money for their future. You can find it at your local library.
What i really got out of the book was the idea that parents should buy stocks that kids can relate to; like McDonalds and Disney. Maybe like buy one share for each kid every month and as they grow older teach them about these stocks and what they mean, get them involved.
Wesley
what you should do is open an ESA account and use it for their education I know you want to insure their future but you should do it a step at a time, they will have enough time to save for retirement.
Alyvia
I **** 529 plans. I opened regular brokerage accounts for my kids (custodial). I could not find a 529 that would let me invest the way I wanted to. Also the cheapest / year fee I could find was $250. Geez.
This is going to be their spending money for college. Plus they are learning how to buy cd’s and mutual funds at no cost whatsoever.
I have another account in my name for their college savings (a regular discount brokerage).
529’s are for people that need help saving. You don’t. You know what you are doing compared to 99.9% of the population.
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