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URL:  http://boards.fool.com/once-weve-maxed-my-wifes-and-my-ira-20166985.aspx

Subject:  Re: Tax Advantages beyond IRAs? Date:  1/16/2004  8:54 PM
Author:  WPatch Number:  38598 of 76421

Once we've maxed my wife's and my IRA contributions and our daughters ESA, are there any other tax-advantaged investments for us? I'm active duty, so don't get matching in the TSP (as I understand.) Wife is SAHM, not 401k or equivalent for her.

The TSP is a great 401k fund, even without a match. Its administrative costs to participants are microscopic(very low institutional rates on primarily index funds). The Motley Fool has justifiably pointed out the advantages of index funds with low fees(even if they prefer to market stock picking now. A diversified portfolio of US stocks, foreign stocks, and bonds in the TSP is one of the best tax-advanage investment portfolios.

Another tax-advantaged investment to consider is the 529 plan. a state sponsered college savings plan which offers tax-free savings for college spending. Very high amounts of savings can be invested. I believe that the best low cost plans are those of Vanguard, TIAA-CREF, and Fidelity; they are each active in several states.
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