Hunter's 529
Apparently First Son Hunter Biden used about $40,000 of his daughter's 529 college savings fund for drugs and prostitutes, according to the IRS.
These are not "Qualified Higher Education" expenses under the Department of Treasury Rules, so I can see why they're miffed.
Here are some other, non-qualified things you can do with your 529:
- Fund a Super PAC
- Purchase jet skis
- Buy crypto through Sam Bankman-Fried
Proper use of the 529 is pretty much limited to direct college expenses, such as tuition, rent, books and even laptops.
I don't know if Hunter used his 529 for The Laptop. He would not turn my calls.
But here's the thing about the 529...
In financial aid, it PENALIZES, meaning, reduces your eligibility for aid. Pretty weird, right?
One one hand, the government incentivizes you to save for college by creating the 529 plan.
On the other hand, if you actually DO save money this way, you'll receive less financial aid.
It's a perverse incentive, don't you think? Sadly, that's merely one of many counter-intuitive factors that punish responsible families who earn a living, live beneath their means, pay their bills, etc.
However, these families may be able to level the playing field and beat the overpriced, rip-off colleges at their own game. We touched on five, maybe six or seven such strategies in our webinar last week, which I graciously -- because Pearl and I are celebrating our 28th wedding anniversary today -- decided to post for your edification and possible enjoyment.
Here's where to learn up on these "secret" strategies:
- Andy "28 Years of Fooling Pearl" Lockwood
P.S. Here are some other ways we can help you:
Test Prep and Tutoring - classes start tomorrow!