UTK Bridge Program

[DancingOutlaw]

if it was a cost issue then you are correct. Cost isnt. I've been saving for a long, long time. I'm sitting on about 100k so he/we can afford to have a full college experience.

Even though you have the funds I would still consider taking out Stafford loans. Rate is around 4.5%, you could put that money in an index fund and come out ahead.

 

[crusse10]

I got a 27 and a 3something in 05 and got accepted to UT...ahh simpler times

 

[SmokyRiverDog]

Even though you have the funds I would still consider taking out Stafford loans. Rate is around 4.5%, you could put that money in an index fund and come out ahead.

Where are these guaranteed 5% returns?

 

[volsarelife1]

I don’t get using the money just because you’ve saved it tbh. Use the extra money so he can enjoy himself while he goes to school or something. Just doesn’t make sense to me all around, but if it’s what he wants to do, go for it

Yeah that doesn't make much sense to me either honestly.

 

[GreveHaller]

I don’t get using the money just because you’ve saved it tbh. Use the extra money so he can enjoy himself while he goes to school or something. Just doesn’t make sense to me all around, but if it’s what he wants to do, go for it

Yeah that doesn't make much sense to me either honestly.

Not sure if you understand 529 plans. You contribute and any withdrawals are tax free as long as they are used for college tuition, room, board, books, etc. If you are audited and they deem the withdrawals were not for the purposes specified they will ding you with taxes and penalties. There's nothing to 'save' the money for. He cant get it for any reason other than school. We cant use it for keggers, spring break, or frat dues. If in the end there were monies left that were not used I can roll them into an IRA of mine.

 

[volfanbill]

Not sure if you understand 529 plans. You contribute and any withdrawals are tax free as long as they are used for college tuition, room, board, books, etc. If you are audited and they deem the withdrawals were not for the purposes specified they will ding you with taxes and penalties. There's nothing to 'save' the money for. He cant get it for any reason other than school. We cant use it for keggers, spring break, or frat dues. If in the end there were monies left that were not used I can roll them into an IRA of mine.

Then roll it into an ira. Or save for grad school if you can. Just because you have money doesn’t mean paying UTK costs for community school makes sense. And there’s no way he’s going to actually feel like a UTK student if his classes are taken at PSCC.