Gift Money to Kids

Hello,

The investing for kids section of the course was great but I was hoping for a little more clarity. My wife and I are hoping to create a strategy to plan for our newborn and more possible future children. The prospect of paying for college is great but with the current cost of college we don’t see it feasible to invest enough to cover college for multiple kids 20 years from now without sacrificing our own financial situation.

Our ideas:

  • possibly sending our kids to private school so money in a 529 would still be good for that but how much?
  • investing other money to give to our kids even after college for a wedding/down payment

Some money in a 529 sounds like it would make sense, but to gift money sounds like it might be best in a traditional brokerage account instead of a UGMA. If we save $50,000 for example and want to give it to him when he’s 25, are we limited to only $15,000/year tax free? Can you not do more than that? I guess I am confused by the “no tax on gifts under 11.7 mil” but also a $15K/year limit?

Thank you in advance for any clarity. This course and your resources might change my family’s future. Thank you for that.

God Bless,
Dylan