Self-Taught

Should you select a 529 college savings plan on your own or should you use a financial professional?

There are two common reasons for do-it-yourself 529 investing:

• Lower expenses. Broker-sold 529 plans generally have higher annual costs as well as sales charges

  of 1 percent to 5.75 percent of your contributions. Moreover, many 529 plans that you can buy directly

  (but few of the broker-sold plans) invest in index funds with low expense ratios.

• State benefits. Your state may offer special incentives for plans you purchase yourself. As a

  resident, you might be eligible for a state income tax deduction, a matching contribution, financial

  aid, or special protection of your account from creditors. While these benefits will not automatically

  make a direct investment a better deal, they should be factored into the search equation.

Generally, if you