In this episode, Cory unpacks the truth behind 529 college savings plans, their benefits, drawbacks, and what families should consider before committing their money. While 529s promise tax-free growth for education, Cory explains how they can also limit flexibility, impact financial aid, and tie up funds that could serve broader family goals.

Using real-world comparisons, he explores alternative strategies, from taxable brokerage accounts and student loans to securities-backed lines of credit, and how each affects long-term financial outcomes.

Full spreadsheet demo: https://youtu.be/wCXOaJx0lD0

The episode also highlights a creative use of the new 529-to-Roth IRA conversion rule, turning leftover education savings into a lasting wealth-building tool. Cory's takeaway: 529s aren't good or bad, just situational. The real aim isn't to buy college, but to buy choice and opportunity for your child's future.

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Timestamps:

00:00 – Introduction: The 529 plan debate

01:05 – How 529s work and their tax appeal

02:40 – Real-life model: comparing college funding paths 04:30 – Student loans vs 529 performance

06:00 – The value of flexibility and liquidity

08:05 – New 529-to-Roth conversion strategy

10:30 – Opportunity funds and financial independence

12:50 – When 529s make sense (and when they don't)

14:30 – Closing thoughts: funding choice, not just college

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