Clark Behind The Headlines
From HLN's Money Expert Clark Howard

I recently dug in and researched all the college savings plans available around the country so I could update the guide on my web site. And did that take a lot of time! But did I find a pleasant surprise. The plans known as 529 plans have gotten much better. Not all of them are better, but a lot of them around the country have improved.

If you're familiar with 529 plans, you know that you can put money into them and if it's used later for eligible college expenses, then all the earnings accumulated through the years are yours tax-free.

529 plans were growing like crazy earlier this decade. And then when the bottom fell out of the economy and the stock market, 529 plans just froze, essentially. They stopped growing and people stopped contributing to them. Because when you're at a point in your life where you're just trying to put food on the table, putting money aside in a college savings plan goes by the wayside, as it should.

My 529 guide went from the #1 most-visited section of my web site, to way down the list. There's some sense that people are feeling a little more confident now, because more people are going to my 529 guide.

I said a lot of plans were getting better. So, what makes a 529 plan better?

Each plan has an annual fee for the manager of the money for your kids' college. And those management fees have declined a lot since I revised my guide last year. It is now much easier for you to find a good plan.

The way Congress wrote the law is that states have to sponsor 529 plans. So, each state can sponsor one or more plans. In most situations, your money can go into any state's plan. But if the state where you live has a good plan, you should put your money there because you may - if your state has an income tax - have a tax benefit for putting money into your state's 529 plan. And remember, at the time you spend the money, it's tax-free if it's used for college expenses.

A single state may have several plans. But all of them could be junk. So in my 529 guide, I have links for you to the best plan available in each state. The only plans I recommend are commission-free plans.

If your state is not on my list, you should go with one of the Dean's List with High Honors plans. The three best plans in America are sponsored by the states of Utah, Iowa and New York. Utah is my favorite of all the 529 plans in America. But again, if you live in a state that's on my Honor Roll, go into your state plan. For the complete list, click here.

Money Coach with HLN's Money Expert Clark Howard

Having trouble managing money? Do your money goals seem impossible? Clark Howard wants to help you!

We’re looking for individuals or families who are willing to be profiled on HLN .

Those chosen will get money advice and information from Clark Howard.
This week’s question comes from Dan and Heather Sostrom of Gainesville, Florida.

Clark:
Wow you’ve got a lot of mouths to feed in that household, now another one on the way. Three children that you’re going to have to raise and pay for college for.

But the thing is, do you know what? You paid for your own college you said that set you back. But the truth is there are so many ways to pay for college, but you know what? There’s only one way to pay for your own retirement.

So you love your children, you want the best for the them but key thing, your primary focus and goal should be to beef up your savings for retirement. You need to contribute more each and every month to that and then if there’s money left over, put it toward your kids’ college in a prepaid plan or the 529 plan.

This conflict I’ve just talked about, I hear this over and over and over again. And when I talk with older couples whose kids are now grown and then I ask 'What did you save for retirement?' They kind of can’t look at me because they’ve taken all the money and put it toward their kids’ college.

Remember what I just said. Your primary goal with your long term savings is not your kids’ college. There’s work, there’s loans, there’s grants, there’s scholarships but for retirement you’ve got one thing and that’s you.

HLN Money Expert Clark Howard

DONALD:I want to start saving for college for my grandchild that I do not have. What is the best way?

CLARK:That is great optimism, Donald, because you've already decided that your to-be-born grandchild is going to be college material. Love that. Alright, the reality is, with a 529 college savings plan you are not allowed to open an account until there's someone to name as a beneficiary. But there's a way around the beneficiary issue.

Here's how you do it: You can set up a 529 account, college savings plan (tax free) and name yourself as beneficiary of the account you own. Then, when your grandchild is born, you simply change the beneficiary designation to that new bundle of joy, your new grandchild.

About 4 million baby floats manufactured by Aqua Leisure Industries are getting recalled because of a drowning hazard. This, right before the July 4th holiday weekend.

The problem here is that the leg straps in the seat of the float can tear. This can cause kids to unexpectedly fall into the water - an obvious drowning risk. There have been 31 reports of float seats tearing, causing children to fall into or under the water. No injuries have been reported, according to the Consumer Product Safety Commission.

The floats come in a range of styles and colors. Some examples include the Baby & Me Combo, the Deluxe Toddler Racer, the Sunshade Buggy and the Quacker Float. for specific model numbers, go to the CPSC’s website at CPSC.gov.

They were sold at retailers nationwide, including Target, Toys "R" Us, Wal-Mart, Dollar General, Kmart, Walgreens, Ace Hardware and Bed, Bath & Beyond from December 2002 through June 2009.

Look for the names and model numbers that should be on the back of the float.

If you have one of these floats at home, stop using them. Call Aqua-Leisure for a full refund at (866) 807-3998. Or, go to their website at aqualeisure.com.

Overprotective is a bad word for most parents. You don't want to stifle your children, keeping so close an eye on them that they never gain their independence. But who doesn't want to gather their kids close and hold on for dear life after reading stories like this one about the two girls who were shot to death in a small Oklahoma town?

The key, as in most everything, is balance, experts say. The National Crime Prevention Council gives a few tips on keeping your children safe in their own neighborhood. Although they may seem like common sense, many parents don't follow through on a regular basis.

Know where your children are. Meet their friends and their friends' parents.

Have regular check-in times so you know if something is wrong.

Outline a boundary in the neighborhood for them so that they know where they can go and where they can't.

Point out safe places where they can run for help.

Help your children learn important phone numbers by heart.

TIME magazine talked with Ernie Allen, president of the National Center for Missing and Exploited Children in 2003. The NCMEC has a "no, go, tell" plan for children, Allen said.

"Kids have the right to say no. If a grown-up comes to a child asking for help looking for a puppy or for directions, the child should get a trusted adult to help instead.

Kids don't have to be polite. We put a huge premium on making sure our kids are polite to a fault, especially to adults, and that translates into: "do what the man says."

Communicate. If a child feels frightened, they should be encouraged to talk with a trusted person: mom, dad, counselor or teacher. The message for parents? Listen to your kids."

Learn more about the plan here.