Alma Rojas, Manager of Service Delivery
“I opened a 529 account this year and used my NY State Refund to fund it. I also opened a Roth IRA with my bank because I needed to roll over my MyRA account (I was so sad that this program was terminated by the current administration). And I’ve set up monthly recurring deposits for both accounts.
I have always believed in the importance of building and maintaining a savings habit, and had been steadily saving through monthly recurring auto-deposits, as well as through Digit. However, before becoming a financial coach, I wasn’t too familiar with investment plans – they seemed like an option available only for really wealthy individuals. Through my work as a coach, however, I became more comfortable with long-term asset planning.
I decided to start with a myRA account because for me saving for retirement was more of a priority than opening a long-term education savings plan. However, during this tax season, I was inspired by stories of customers saving in a 529. I also felt that I couldn’t promote saving in a 529 to customers if I didn’t have one myself. Also, one of the reasons, the current administration gave for terminating myRA was that not a lot of people were using it. So I feel that the more people enroll in programs similar to myRA, the more it shows how popular, valuable, and necessary these programs are.
What I like about 529s is the flexibility in choosing and switching between beneficiaries and how much the monthly contribution can be. If I want to go back to school in the near future, the funds are there. But if I want to choose a family member as a beneficiary I can do that as well. With the 529 I feel that I can prepare for any potential future. Having a 529 just makes good financial sense. Have to take advantage of compound interest and tax advantage savings!”