529 plans are named after section 529 of the Internal Revenue Code 26 U.S.C. § 529. While most plans allow investors from out of state, there can be significant state tax advantages and other benefits, such as matching grant and

There are many advantages to the 529 plan:
First, although contributions are not deductible from the donor's federal income tax liability, many states provide state income tax benefits for all or part of the contributions of the

In certain circumstances where a 529 account has experienced investment losses over the term of its existence, the contributor to the account may withdraw the funds and have the losses deducted from taxable income (but not counted as such for

529 college savings plan originated from states rather than the federal government. With tuition cost increasing year by year, the state-run prepaid tuition program of Michigan addressed the

Money from a 529 plan can be used for tuition, fees, books, supplies, and equipment required for study at any accredited college, university, or vocational school in the United States of America and at some foreign universities.
The money can also be

While the number and types of 529 plans are growing, not all investment vehicles are available in 529 form.
Unlike almost all other

Contributions to 529 plans are considered gifts under the federal gift tax regulations and hence any contributions in excess of $15,000 if filing single (or