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529 plans are named after section 529 of the internal revenue code irc which was added in 1996 to authorize tax free status for qualified tuition programs.
Section 529 plan. The plans were introduced in 1996 to help taxpayers salt away college expenses for a designated beneficiary. A 529 plan is a tax advantaged savings plan designed to help pay for education. 529 plans legally known as qualified tuition plans are sponsored by states state agencies or educational institutions and are authorized by section 529 of the internal revenue code.
While there are some rules to follow the tax benefits and ownership flexibility of these plans make them well worth it. A 529 plan is a tax advantaged investment vehicle in the united states designed to encourage saving for the future higher education expenses of a designated beneficiary. Section 529 college savings plans should be at the top of the list for parents and others wanting to save for a loved one s education.
A 529 plan is a tax advantaged savings account designed to be used for the beneficiary s education expenses. A 529 plan is a tax advantaged savings plan designed to encourage saving for future education costs.
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