Military Officer - May 2006 - (Page 22)

rapidfire College Cash H istorically, assets held in “custodial accounts,” such as UGMA (Uniform Gift to Minors Act) and UTMA (Uniform Transfer to Minors Act) accounts, have been bad news for federal college aid. These accounts, legally owned by the child, are considered “35-percent assets,” meaning that 35 cents out of each dollar in a custodial account is counted toward the expected family contribution under federal college aid formulas. However, a provision in the Deﬁcit Reduction Act of 2005 states that after July 1, 2006, custodial assets held in Section 529 college savings plans or prepaid college tuition plans will no longer be considered child-owned assets under federal aid parameters. This means that custodial assets transferred from a UGMA/UTMA account to a custodial 529 plan account will change from 35-percent assets to more favorable 5.64-percent assets (the same as parental assets). Keep in mind, however, that virtually all 529 plans accept only cash, so selling assets ahead of a transfer could trigger tax consequences and affect aid calculations if done too close to college time. Another major change is the reduction, starting in the 2007-2008 school year, in the assessment of child assets from 35 percent to 20 percent, which will further lower the penalty for proactive college saving. ON THE WEB ■ For more details, visit www HGTV Goes Military military family at Maxwell AFB, Ala., will be featured on the Home and Garden Television network’s “House Hunters” series. Senior Master Sgt. Greg Day, an Air Force Sergeant Academy instructor; his wife, Diane; and their two children, Mary Jo and Jacob, were followed by a television producer and crew, who documented their search for a residence in the Montgomery area. The show follows home buyers all over the world to see what real estate is like in their areas. The Days came to Maxwell from Monterey, Calif., in a permanent change of station move. Before the move, Day’s wife convinced him to send an application to the cable TV show. The “House Hunters” episode featuring the Days is scheduled to air sometime this fall. A .savingforcollege.com/email/ monthly/02_06.php >> 22 Veterans Report Mental Distress More than one-in-three servicemembers who have served in Iraq later sought help for mental health concerns, according to an Army study published in the Journal of the American Medical Association. According to the study of more than 300,000 soldiers and Marines returning from Iraq, Afghanistan, and elsewhere, those returning from Iraq consistently reported more psychological distress than those returning from Afghanistan and other conﬂicts, such as those in Bosnia or Kosovo. Iraq veterans are far more likely to have witnessed people getting wounded or killed, to have experienced combat, and to have had aggressive or suicidal thoughts, the Army report said. Nearly twice as many of those returning from Iraq reported having a mental health problem — or were hospitalized for a psychiatric disorder — compared with troops returning from Afghanistan. >> RESOURCES: Military One-Source provides information and education services, referrals, and confidential counseling. Call (800) 464-8107 or visit www.militaryonesource.com. MILITARY OFFICER M AY 2 0 0 6 IMAGES: LEFT, DAVE CUTLER/IMAGES.COM; RIGHT, TECH. SGT. SCOTT MOORMAN, USAF http://www.savingforcollege.com/email/monthly/02_06.php http://www.savingforcollege.com/email/monthly/02_06.php http://www.savingforcollege.com/email/monthly/02_06.php http://www.militaryonesource.com

Table of Contents Feed for the Digital Edition of Military Officer - May 2006

Military Officer - May 2006 Contents From the Editor President's Page Your Views MOAA Directory Rapid Fire Washington Scene Financial Forum Ask the Doctor Chapter Activities Raising Iraq Dogfight Fun Caring For Our Own Pages of History Information Exchange MOAA Scholarship Donors Member Books Advertising Index MOAA Calendar Sounding Taps Encore

Military Officer - May 2006

For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.