VP, Research & Development
Brian Boswell is a subject matter expert on 529 savings plans. He is responsible for all things 529, including contributing content to the Savingforcollege.com web site, quarterly performance rankings, and media relations.
Brian has worked with 529's in multiple capacities since 2001. Prior to joining Savingforcollege.com, Brian served as Director of Advisor Distribution to Ascensus College Savings (formerly Upromise Investments, Inc.), the leading administrator of 529 savings and prepaid plans. There he oversaw the advisor-related business of ACS. At FRC (Financial Research Corporation) Brian served as Subject Matter Expert for educational savings research, responsible for developing and overseeing all FRC products and services related to college savings plans.
Brian has been quoted in leading publications including The Wall Street Journal, Reuters, Investor's Business Daily, MarketWatch, BusinessWeek, Registered Rep, and Ignites, among others. He received a Bachelor of Science from Rensselaer Polytechnic Institute. He holds NASD Series 7 and Series 24 licenses. He is a father of triplets with significant higher education expenses in his future.
How the kiddie tax may affect your clients
The Kiddie Tax applies to a child's investment income from custodial accounts, over certain thresholds. Your clients may want to consider using their existing UGMA/UTMA account to fund a 529 plan. Because earnings grow tax-deferred, and can be withdrawn tax-free, they avoid the Kiddie Tax entirely.
Massachusetts to offer 529 state tax deduction
Massachusetts Governor Charlie Baker recently signed House Bill 4569, 'An Act relative to job creation and workforce development' into law on August 10, 2016. The primary role of the bill was to promote economic development for the state. However, it also included a new tax benefit for families saving for college. Residents will be able to deduct up to $1,000 in contributions to a Massachusetts Educational Financing Authority (MEFA) U.Fund from their state income tax (up to $2,000 for married couples filing jointly) beginning January 1, 2017 through the 2021 tax year, when the deduction is scheduled to expire. This announcement comes as a welcome surprise to families, as other states have found it challenging to sustain or initialize a 529 tax benefit. Ideally, we would like to see other states follow in Massachusetts's footsteps, but historically this hasn't been the case.
Think twice before sending clients to a direct-sold 529 plan
Financial advisors are increasingly viewed by clients as their guide to achieving their college savings goals. Financial advisors, however, are challenged by the paperwork-intensive, and - sometimes - low asset size of 529 plans. To make their lives easier, some advisors have found it simpler to forego the commissions on the asset base of 529 plans and refer their client to a direct-sold plan. However, this can be outright dangerous for both the advisor and client: Here's why.
Hillary Clinton's plan for free college: Will you still need to save?
Hillary Clinton recently introduced an expanded proposal to her original “College Compact,” which would make college more affordable and outstanding debt more manageable. But how realistic are the proposals? Do they go too far, or not far enough?
Proposed Bill Would Change the Game
The Boost Saving for College Act (Boost) was introduced to the Senate at the end of April by US Senators Richard Burr (R-NC) and Bob Casey (D-PA). Boost is designed specifically to incent low- and middle-income families to start saving for college by enhancing 529 and 529A benefits.