Trust Funds for Children

• THE4RINGZ

  

  Land. As in real estate.
• thedynasty1998

  

  ernest_t_bass;1088334 wrote:I have between $2500-$3000 already saved between the two.

  Buy some Apple or Walmart stock. Or wait for Facebook.
• j_crazy

  

  Kog. It's like 9 bucks. But it will be 40 in 2 years. I'm throwing all my spare money at it. Seriously.
• j_crazy

  

  I am serious. And am putting my money in it. But you know, I'm like, not a financial advisor.
• j_crazy

  

  So if you lose your ass don't cry to me. I will be just as bummed.
• Pick6

  

  thedynasty1998;1088351 wrote:Buy some Apple or Walmart stock. Or wait for Facebook.

  Id say the best days of facebook are behind it, unless they tap into China.
• THE4RINGZ

  

  Let Apple split from the $500 range and hop on that bitch.
• ernest_t_bass

  

  THE4RINGZ;1088364 wrote:Let Apple split from the $500 range and hop on that bitch.

  
  They'd have to have a major split. 5:1, which ain't happening!
• Pick6

  

  j_crazy;1088353 wrote:Kog. It's like 9 bucks. But it will be 40 in 2 years. I'm throwing all my spare money at it. Seriously.

  what makes you say that?
• WebFire

  THE4RINGZ;1088347 wrote:Land. As in real estate.

  Farm land is where it's at.
• THE4RINGZ

  

  Whatever price it splits at seems like a horse to ride.
• password

  

  What you need to do is keep saving your money then when they turn 15, invest $5000.00 in a Roth for each of them and they will never have to worry about retirement.
• McFly1955

  

  rip34;1088262 wrote:If you are looking at saving for college open a 529 account for both your kids at college advantage.com. the money grows like a Roth Ira as the gains can be used tax free as long as it is spent on education. Plus up to 2000 can be deducted on your Ohio state tax.

  This. We do this for our daughter.
  
  Another option is to contribute to a Roth IRA (in your name). When the time comes if you need some cash for a wedding or whatever, you can take out the contributions penalty/tax free (since it has already been taxed once).
  
  I just started maxing out a Roth ($5,000/yr) --- and according to an investment calculator I just used ---
  
  Max Roth for next 17 years (my daughter is 1), there will be around $85,000 I can take if needed with no penalties, but the value of the account assuming avg 8% return = $192,000 ---- chaching.
• thedynasty1998

  

  Pick6;1088361 wrote:Id say the best days of facebook are behind it, unless they tap into China.

  Why do you say that? It's just starting to tap into its potential. Imagine a day where bank accounts, music, shopping, message boards and everything else you use the internet for is accessible from Facebook.com. It's a matter of opinion, but I think Facebook is nowhere near its potential.
• thedynasty1998

  

  McFly1955;1088387 wrote:This. We do this for our daughter.
  
  Another option is to contribute to a Roth IRA (in your name). When the time comes if you need some cash for a wedding or whatever, you can take out the contributions penalty/tax free (since it has already been taxed once).
  
  I just started maxing out a Roth ($5,000/yr) --- and according to an investment calculator I just used ---
  
  Max Roth for next 17 years (my daughter is 1), there will be around $85,000 I can take if needed with no penalties, but the value of the account assuming avg 8% return = $192,000 ---- chaching.

  Who assumes an 8% return?
• McFly1955

  

  password;1088383 wrote:What you need to do is keep saving your money then when they turn 15, invest $5000.00 in a Roth for each of them and they will never have to worry about retirement.

  That will only get them around $250,000 - $275,000 in today's dollars when they are 65.
• j_crazy

  

  McFly1955;1088387 wrote:This. We do this for our daughter.
  
  Another option is to contribute to a Roth IRA (in your name). When the time comes if you need some cash for a wedding or whatever, you can take out the contributions penalty/tax free (since it has already been taxed once).
  
  I just started maxing out a Roth ($5,000/yr) --- and according to an investment calculator I just used ---
  
  Max Roth for next 17 years (my daughter is 1), there will be around $85,000 I can take if needed with no penalties, but the value of the account assuming avg 8% return = $192,000 ---- chaching.

  
  Don't know about the op, but I make too much to start a roth. 529 is a good choice too. But KOG is still my advice.
• thedynasty1998

  

  j_crazy;1088402 wrote:Don't know about the op, but I make too much to start a roth. 529 is a good choice too. But KOG is still my advice.

  How do you make too much for a Roth?
• j_crazy

  

  thedynasty1998;1088405 wrote:How do you make too much for a Roth?

  
  My job pays too much?
• thedynasty1998

  

  j_crazy;1088407 wrote:My job pays too much?

  I deleted my post, wasn't thinking.
• McFly1955

  

  thedynasty1998;1088395 wrote:Who assumes an 8% return?

  It's been a few years, but when I was in investment sales that seemed to be the most common ROR assumption, probably for the benefit of the fund companies... Nobody knows, it's just a starting point. Everyone should obviously make the assumptions they are comfortable with, some might use 10% and feel OK with that, some might only use 3-5%.
  
  5% in my example means I'll have $140,000 in a Roth in the same time period. Not bad for choosing to invest just $400 per month which everyone should be able to accomplish (cut smart phone bill, car payment, and cable package and there you have it.)
• ernest_t_bass

  

  McFly1955;1088387 wrote:This. We do this for our daughter.
  
  Another option is to contribute to a Roth IRA (in your name). When the time comes if you need some cash for a wedding or whatever, you can take out the contributions penalty/tax free (since it has already been taxed once).
  
  I just started maxing out a Roth ($5,000/yr) --- and according to an investment calculator I just used ---
  
  Max Roth for next 17 years (my daughter is 1), there will be around $85,000 I can take if needed with no penalties, but the value of the account assuming avg 8% return = $192,000 ---- chaching.

  I only put in $600/year.
• ernest_t_bass

  

  Fuck, I can't even take myself serious with my hideous fucking avatar.
• password

  

  McFly1955;1088397 wrote:That will only get them around $250,000 - $275,000 in today's dollars when they are 65.

  For a one time investment of $5000.00, that is not a bad gift to give your kids.
• McFly1955

  

  password;1088432 wrote:For a one time investment of $5000.00, that is not a bad gift to give your kids.

  
  Hell yeah, I wish someone thought to do that for me
  
  I was just disagreeing with the not having to worry about retirement part