Section 529 of the Internal Revenue Code created a type of college savings plan that known as a “529 Plan”. The 529 plan allows families to: Invest funds after you’ve paid taxes on them (similar to a Roth IRA) Grow the money tax-free over time (no taxes on dividends or asset appreciation) Withdraw the money tax-free to pay for qualified college expenses. Up to $10,000 per year per student can also be used for tuition at an elementary or secondary public, private, or religious school.
#1 – Each State Sponsors its Own 529 Plan(s), But You (1 comments)