Fewer Tax Benefits
A Roth IRA offers fewer tax benefits than a 529 plan IF the money is used for higher education.
529 plans allow for tax-free withdrawals of earnings, while Roth IRAs do not (at least, not until you’re age 59-1/2).
Some states offer income tax deductions for contributions to a 529 plan. Roth IRAs never get this benefit.
If the money you’re saving does end up being used for college expenses, a 529 plan will likely save you more money.Big Boss vote
A Roth IRA offers fewer tax benefits than a 529 plan IF the money is used for higher education.
529 plans allow for tax-free withdrawals of earnings, while Roth IRAs do not (at least, not until you’re age 59-1/2).
Some states offer income tax deductions for contributions to a 529 plan. Roth IRAs never get this benefit.
If the money you’re saving does end up being used for college expenses, a 529 plan will likely save you more money.Big Boss vote
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