
Should You Take Money Out of a 529 Account While the Market is Down?
When the market is down, it’s worth reviewing everything in your portfolio. Even your child’s 529 plan. Are you comfortable with your allocation of funds? How does your risk tolerance feel given the bear market? Is tax loss harvesting worth it for you? But I have another more unique strategy to consider: taking money out of your kid’s 529 plan. That’s right. I’m suggesting selling off the college savings fund for your precious child. And not just at any time, but when the market is down! Hear me out. Perhaps you’ve been investing diligently in your son or daughter’s 529 account for the past few years. Let’s assume you already have invested $30,000 in the account. But due to market timing and the downturn, you now have just $33,000 in…