Yesterday I described the best prepaid tuition plan I know of, Washington state's Guaranteed Education Tuition plan, which allows you to place a tax-free bet on the trajectory of tuition inflation at Washington public universities. It's a weird investment vehicle, but you could see how it might play a speculative role in the portfolio of a sufficiently wealthy person, … [Read more...] about How to think about prepaid tuition plans: Virginia Prepaid529
I've written extensively about 529 college savings plans, which are a way for the wealthy to permanently shield intergenerational transfers of appreciated assets from taxation while also allowing those assets to internally compound tax-free. However, there's a second kind of investment vehicle conceived of by section 529 of the Internal Revenue Code: prepaid tuition … [Read more...] about How to think about prepaid tuition plans: Washington’s Guaranteed Education Tuition plan
I've been thinking lately about the role taxes play in calculating investment returns. It's not a question that's very relevant to most people, since for the vast majority of Americans investments are best made in accounts that offer tax-free compounding, whether that's an IRA, 401(k), HSA, or 529 account. But once you start to think about it, there are potentially … [Read more...] about Should long-term taxable investors consider dividend-minimal funds?
The lives of Americans my age are overwhelmingly defined by a single formative experience. Not the September 11 attacks, which happened at the beginning of my junior year of high school, but the global financial crisis. Obviously both events affected Americans of all ages old enough to remember them, but people my age had the unique privilege of entering the workforce during … [Read more...] about The high-employment generation
On Tuesday I wrote that so-called "charitably clumping" was a fairly transparent marketing campaign by the philanthropy and money management industries to generate more contributions and assets under management. Commenters were not amused! After reading through the comments I'm happy to concede I overstated my case, while I think some readers might have passed over elements … [Read more...] about Follow-up: was I too harsh on “charitable clumping?”