Education funds for kids or not?

Question

I've heard that for purposes of financial aid (colleges) it is better for a child NOT to have money in his/her own name. The story I was told was that a higher percentage of money in a child's name counts against financial aid packages, and one is better off keeping money in the parents' names. Does anyone have knowledge or experience with this?

Answer 1

Education funds like you states 529 plan ARE in your name under your social security number.  This are outstanding ways to save for your child's (or your) college education.  Yes, their income and assets are calculated at a higher rate than yours when determining financial need.