Planning to open a 529 account for my kids. I live in Virginia and planning to use fidelity since I have accounts there. Any other considerations I should think of?

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In order to get the state tax deduction you generally have to use your state’s plan. In your case Virginia529. That’s not the case for all states, but my quick 2 minute google search made it seem like it was that way for Virginia. It’s max 4k per person state deduction (so you and spouse can deduct 8k total). So it’s probably only worth about $400-500 saved if you do all 8k. Up to you if that’s worth having a separate account vs just doing fidelity. Also each state has its own plan and some have much better options and expense ratios than others. So if you do go with Virginia529, check on those options compared to fidelity first.

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Thank you for the great advice!

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One other thing to note while you’re at it. Last year the laws on what you can do with excess 529 money changed. You can you roll excess money over to a Roth IRA. There are max limits to this, and it counts as your yearly IRA contribution, so max 7k per year right now. It would go into the Roth IRA of the beneficiary of the account (so your kids). The account has to have been open and had the same beneficiary for 15 years or more for this to be an option. So historically you could just have one 529 account and change beneficiaries between kids at any time. Now it actually makes sense to open a separate account for each kid. You can still transfer money between the accounts no issues, but you’ll want separate accounts. You may have already known all this, but I reread your post and it sounded like you were planning to open just one account, so thought I’d make sure you knew.

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