If a family wants to maximize the benefits of tax advantaged savings accumulated in Coverdell and 529 plans and also be able to qualify for the available income tax credits while their child is earning a bachelors degree, which of the following is advisable?

a. Use funds from the Coverdell and/or 529 plan for all qualifying educational expenses firstuntil those funds are depleted, and then take advantage of the tax credit in the later years.

b. Save the funds in the Coverdell and/or 529 plan until the junior and senior yearsmaximizing the tax credits available to freshmen and sophomore students.

c. Pay for enough qualifying educational expenses from non-tax advantaged funds each year to take advantage of the tax credits, and then use funds from the Coverdell and/or 529 plan for the rest.

d. Timing is not an issue, unless the child qualifies for financial aid.