Roth IRAs vs. 529s: A College-Savings Smackdown
Using a retirement account to save for college invites many potential pitfalls.
Note: This article is part of Morningstar's October 2013 College-Savings Boot Camp special report. This article originally appeared May 14.
Question: Rather than use a 529 college-savings plan to provide for college expenses in the future, I plan to use a Roth IRA and invest the money in a target-date fund based on when my child will enter college. Any problems with this plan?