Ultimate Guide to 529 College Savings Plan Options for Parents
Ultimate Guide to 529 College Savings Plan Options for Parents Introduction Saving for a child's college education can be a daunting task, but there are ways to make it easier. One popular option for parents is to use a 529 college savings plan. These plans, which are named after the section of the Internal Revenue Code that governs them, offer tax-advantaged savings for education expenses. There are many different 529 plan options available, each with its own set of features and benefits. In this article, we will explore the various types of 529 plans, how they work, and some of the factors parents should consider when choosing a plan. What is a 529 College Savings Plan? A 529 college savings plan is a tax-advantaged savings account that is designed to help families save for education expenses. These plans are named after Section 529 of the Internal Revenue Code, which governs their use. There are two main types of 529 plans: prepaid tuition plans and savings plans. Prepaid tuit