We’ve all heard horror stories about consumers who have had their credit information stolen and the incredible hassle of undoing the mess.
But what you probably don’t know is that children can be the victims of identity theft too. In fact, identity theft that targets youngsters has been on the rise.
Financial aid season is about to begin.
Starting October 1, parents whose children will be in college for the 2019-2020 academic year will be able to fill out financial aid applications.
For most Americans, the Roth Individual Retirement Account is an excellent way to save for retirement.
Once the money is deposited into a Roth IRA, it can potentially grow tax-free for many decades. And when retirees eventually tap into these accounts, they won’t owe tax on the withdrawals.
Many parents worry that their children won’t qualify for financial aid, but that usually is not a problem.
Here is why you probably won’t need to fret about this:
One of the most attractive aspects of the Roth Individual Retirement Account is that you can take withdrawals tax-free. The more the Roth IRA grows over time, the better your eventual tax break.
Setting up a 529 Plan
It may seem daunting to consider college planning already with a newborn, but higher education is expensive.
Open a Roth IRA and match their contributions
If your child has a part-time job, one of the easiest ways for them to start saving is by opening a Roth IRA. Any earned income (e.g., wages, salary, tips) is eligible for contribution to a Roth IRA.
For many years, it’s been conventional wisdom that children will enjoy a better standard of living than their parents.