This sound accurate from my memory.Your going to get different opinions with this one. I asked are accountant this question 15 years ago . He recommended just a roth ira account ( money has already been taxed) he said you can take the money without penalty for college for your kids . He said if your kids don't end up going to college or if they were to get scholarships it was much harder to move the money out of the 529 (I believe ) disclaimer do your homework its been a long time . Anyway i have money every month into a direct deposit account for it and don't even miss it.
Fyi -The 529 in my state can be transferred to grandchildren and other relatives. College or trade school was not a choice for our kids. And yeah; they could have ultimately decided not to go as its their choice but we have always made education a top priority.Thanks everyone. Didn’t even know about a Roth 401 being an option for this. I know I need to talk to a financial advisor, but I like getting real world experience also. The thing that makes me nervous about the 529 is no college is attended and having to pay the taxes to get the money out.