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How do I change the "intended use" of my 529 account to a specific college expense?

In the Lifetime planner, savings and investments section... It does not include the college expense I created as an option for "intended use". The only two choices I have are "your retirement" and "spouse's retirement". There is a message about tax-deferred accounts and "Educational IRA", but the instructions seem to be incomplete. The account type is "529 Plan" with tax-deferred selected.

Thank you. Windows10. Quicken Premiere R27.28 subscription

Best Answer

  • BoatnmaniacBoatnmaniac SuperUser ✭✭✭✭
    Accepted Answer
    @garydobler - I agree that the dialog in the picture you attached leaves a lot to be desired.  I also agree that the "Retirement" designation can be confusing.  But if you notice the LP uses only 2 designations for cash and investments accounts:  For General Expenses and for Retirement.  I believe (am not 100% sure) that these designations are used primarily in determining tax liabilities in the LP calculations.
    Keep your 529 Plan listed in LP under Investments (otherwise it will not be used in LP at all).  Then, as @Chris_QPW suggested, if you set up your College Expense(s) and link your 529 Plan there it will be used in LP calculations properly.
    (QW Premier Subscription: R28.28 on Windows 10)

Answers

  • Chris_QPWChris_QPW Member ✭✭✭✭
    That isn't how you tell the Lifetime Planner to use that account.

    Go into the Planning Assumptions -> College expenses
    If you have already added such expense edit it or if not create one.
    Go to through the steps until you get to the last one and you will see a button for selecting what account(s) fund this expense.


    (I'm using the latest Quicken subscription version)
  • BoatnmaniacBoatnmaniac SuperUser ✭✭✭✭
    Accepted Answer
    @garydobler - I agree that the dialog in the picture you attached leaves a lot to be desired.  I also agree that the "Retirement" designation can be confusing.  But if you notice the LP uses only 2 designations for cash and investments accounts:  For General Expenses and for Retirement.  I believe (am not 100% sure) that these designations are used primarily in determining tax liabilities in the LP calculations.
    Keep your 529 Plan listed in LP under Investments (otherwise it will not be used in LP at all).  Then, as @Chris_QPW suggested, if you set up your College Expense(s) and link your 529 Plan there it will be used in LP calculations properly.
    (QW Premier Subscription: R28.28 on Windows 10)
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