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  • EJ at Dads Dollars and Debts
    replied
    I have a ton to write about and there are a lot of missing pieces. Unfortunately after a full day of work, a toddler, and a second full day doing insurance and building stuff I am exhausted. The posts will come soon though.

    Briefly,

    Home insurance includes a Dwelling and a Personal Property pot of cash. The dwelling is to build the home and the personal property is to replace stuff. I am taking the personal property cash (which is actually a large chunk of cash) and using it to pay down my school debt and fund my sons 529. So I will be debt free except for the mortgage and a new car we bought (0% down and 0% interest).

    So there is a silver lining.

    The dwelling money will be used to rebuild.

    Leave a comment:


  • adventure
    replied


    Gonna take my insurance money from home loss
    Click to expand...


    ... what about the house?! I'd love to hear the next steps for you guys (perhaps I just missed it on your blog).

    I'm also curious if you are "rebalancing" anything else at this time. As hard as this must be, it must present some interesting oppourtunity, or at least choices.

    Leave a comment:


  • EJ at Dads Dollars and Debts
    replied
    Great points.

     

    I have 15K in for my 2.5 year old son thus far.

    Gonna take my insurance money from home loss and put some 50K or so in a 529. This will put him at 65k at age 3, 130K at age 10 (rule of sevens) and 260k by age 17 if all holds true....we will see but I think it is not a bad idea.

    I use Utah's plan.

    Thoughts?

    Leave a comment:


  • ENT Doc
    replied
    Gift exemption goes to $15k next year BTW.

    Leave a comment:


  • Molar Mechanic
    replied
    529 also have  a special rule that allows you to front load 5 years of "gifts", so $70,000 ($140,000 for 2 parents), but you would not make further contributions for 5 years if you did that.

    Leave a comment:


  • ENT Doc
    replied




    What is the maximum 529 contribution for a married couple with 3 kids?

    Is it $14,000 per parent per kid? So, 28k X 3?

    Live in PA, using PA529 currently.
    Click to expand...


    Yes.  I would fill out Form 709 to indicate a joint gift so that this won't affect your estate.  Also, PA is one of (I believe) 5 states that allows a deduction regardless of the state your 529 is in.  So if you're doing a traditional 529 I'd look to other lower cost states, like CA, MI, NY, MA, AZ, DE, UT, NV, to do your 529s.

    Leave a comment:


  • treswolf
    started a topic 529 contribution

    529 contribution

    What is the maximum 529 contribution for a married couple with 3 kids?

    Is it $14,000 per parent per kid? So, 28k X 3?

    Live in PA, using PA529 currently.
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