Time
Don’t forget the old adage that “time in the market is better than timing the market”. Starting early is important to allow the untaxed growth of the account. Consider opening accounts as children receive their social security number near 1 week of age.
Utah requires starting the account age 18 or younger in order to receive any tax credit on deposits.
Caroline started accounts with $1,000 per year when her kids were born. Gweneth started $1,000/yr accounts when her kids started Kindergarten at age 5. Depending on earnings (example 10%), Caroline’s accounts will be worth near $23,000 more than those of Gweneth at age 19 years.
No statement or example on this site should be considered a specific recommendation for your personal situation. Investing and tax strategies each carry significant risks. Examples herein may not apply to your situation. Please consult your estate attorney, tax advisor, or financial advisor for personal advice.