I have 3 kids in private (K-12) school. We can cash-flow their K-12 school. I'm comfortable with the amount invested for college in 529s (not concerned about overfunding) but I'm not interested in investing more right now. The 529s are Utah. We currently live in Georgia where contributions up to $8000/child are tax deductible. I'm wondering if there's a way for us to take advantage of that tax deduction.
Here's what I'm thinking of doing each year:
- Withdraw 8K/year/child from their current Utah 529 to pay for private K-12 school
- Contribute the same amount into Georgia's 529 --> get tax deduction
It seems like a simple way to maintain the amount I have invested in 529s while getting tax benefits for many years (while my kids attend private K-12). Am I missing something here?
The other thing I've thought about is simply investing 8K/year/child into Georgia's 529 and then withdrawing in the same year for their K-12 tuition. But it's not as clear how that would work logistically (or if it's allowed).
Here's what I'm thinking of doing each year:
- Withdraw 8K/year/child from their current Utah 529 to pay for private K-12 school
- Contribute the same amount into Georgia's 529 --> get tax deduction
It seems like a simple way to maintain the amount I have invested in 529s while getting tax benefits for many years (while my kids attend private K-12). Am I missing something here?
The other thing I've thought about is simply investing 8K/year/child into Georgia's 529 and then withdrawing in the same year for their K-12 tuition. But it's not as clear how that would work logistically (or if it's allowed).
Statistics: Posted by illquixote — Thu Mar 21, 2024 8:10 am — Replies 4 — Views 242