College Savings 2.0

Everyone wants to set their kids up for success, but not everyone knows whether they’ll go to college. Before today, that was a big problem.

529 college plans are a popular choice for child saving accounts with tax-free growth; with the condition that the money was used for college. However, with the rise of trade schools and the changing education landscape, it’s no guarantee every child will end up in a traditional 4-year program.

Tax reforms in 2017 and 2019 expanded withdrawal guidelines to include educational elementary, middle, and high school expenses, along with apprenticeship costs, and limited student loan repayments. Still, the money would only be tax and penaltyfree so long as it was used for education. Until now.

In December 2022, Congress passed a $1.7 trillion spending package that (among other things) allowed funds from an

BY RENEE MICHEL, MBA, AND JOE SWEENEY, CFP ® , FINANCIAL ADVISORS AT SWEENEY & MICHEL, LLC

established 529 account to be transferred *tax-free* to a Roth IRA for the same beneficiary.

Now, unused educational funds could be used to supercharge a beneficiary’s savings. From a retirement standpoint, this could give kids 10-15 years of extra compounding!

As always, there are terms and conditions, including (but not limited to):

The 529 account must be open for at least 15 years.

The amount of the rollover will have annual and lifetime limits (a total of $35k per beneficiary)

If you have questions about college savings, Roth IRAs or anything else, give us a call at 530-487-1777. We’re happy to help.

Pixel Laser Q & A

What is a Pixel Laser?

Pixel is an FDA approved fractional resurfacing treatment that makes microscopic perforations in the skin via laser energy. .

How does it work?

It stimulates collagen growth to smooth and tighten the skin. It can improve and correct scars, fine lines, rough texture, pore size, and sun damage

How effective is it?

Once the collagen growth is stimulated, it continues to improve over the next six months. Texture is smoother, scars are less noticeable, sun damage is improved, and skin is refreshed overall.

How many treatments will I need?

The recommended treatment plan is 3-5 treatments, approximately 4 weeks apart. Healing time can be up to 5 days, sometimes longer for neck and chest, as the skin is thinner there.

What is the cost?

The cost is approximately $650 for face, neck, and chest, and $975 if combined with the IPL/Photofacial.

What can I expect during and post procedure? Treatments are well-tolerated by most patients, with a warm, slightly "snapping" sensation on the skin. Swelling, redness, and flaking are common posttreatment, and cool compresses can be used to disperse heat. Use only a lightweight moisturizer the next day if skin feels dry and tight after your procedure.