Section 529 Plans
Section 529 College Savings Plans are rapidly becoming the investment vehicle of choice for college savings. A 529 Savings Plan acts like a state-sponsored mutual fund that enjoys favored tax status at the federal and often the state level. A donor may make contributions to the account for a named beneficiary. That beneficiary then may make withdrawals from the savings plan for qualified education expenses. Withdrawals from this government-sponsored qualified tuition plan are completely tax-free if the money is spent on qualified educational costs.
All 50 states have enacted some kind of 529 legislation, with most states including some type of savings plan in that legislation. Please be aware that each state’s plan is unique and that investing in an in-state plan may provide tax or other benefits for a participant not available with an out-of-state plan.
ONESCO offers an extensive list of state-sponsored 529 Plans including:
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Alabama
Alaska
Arizona
California
Colorado
District of Columbia
Illinois
Bright Start College Savings Program
Indiana
Iowa Kansas
Mississippi
Missouri
Nebraska |
Nevada
New Hampshire
New Jersey
New Mexico
Ohio
Oregon
Rhode Island
South Carolina
South
Dakota
Texas
Virginia
West Virginia
Wisconsin tomorrow’s scholar College Savings Plan |
For more information about state-sponsored 529 plans, please contact the sponsor and review its Program Description. The Program Description includes investment objectives, risks, charges, expenses, and other information; read and consider it carefully before investing. Please Note: Each state’s plan is unique and investing in an in-state plan may provide tax or other benefits for a participant not available with an out-of-state plan. Clients should consult with a financial, tax, or other adviser to learn more about state-based benefits (or any limitations). More information about 529 plans is available in the issuer's program description.
Please note: This list is subject to change.