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UTMA vs 529: What’s the Difference?

| January 03, 2023

Are you a parent or grandparent wanting to open an account for your child or grandchild? Confused about whether you should open an UTMA or an educational account (529)? Here is a brief comparison of both accounts as a helpful guide.

  

To briefly summarize, an UTMA is an investment account used to save for any expense for a child while a 529 is an investment account for education expenses only. Each has its own benefits. Please give us a call to discuss what may be best for you.

*For more specific information on 529s, please visit our 7 Commonly Asked Questions About 529s blog.